VT H0023

Property owned by spouses as tenants by the entirety that is transferred into a revocable or irrevocable trust retains the same immunity from separate creditors' claims as it had before the transfer

Creditor protection applies when spouses remain married, the property is held in the trust or deeded back to spouses as tenants by the entirety, and both spouses are beneficiaries of the trust(s)

For joint trusts, either spouse may revoke the trust alone, but amendments require action by both spouses to qualify for protection

Creditor immunity ends upon court-ordered dissolution of the spouses' marriage

Provisions apply retroactively to all trusts created before, on, or after the effective date, and to judicial proceedings commenced after the effective date