"I haven't seen any figures for domestic asset protection trusts, but they could very well be the same."

By contrast, domestic asset protection trusts can be set up by the same people who plan to benefit from them.

Ms. Marty-Nelson said the bankruptcy bill should at least apply such a cap to domestic asset protection trusts.

While it is difficult to quantify how much money is sitting in domestic asset protection trusts, their popularity is undeniable, bankruptcy specialists said.

These trusts are known as Domestic Asset Protection Trusts (DAPTs).

Mintz said that one of the most powerful features of WealthDocx 7 is the redesigned Irrevocable Trust System, which includes a highly sophisticated Domestic Asset Protection Trust assembly.

Such trusts are also called Domestic Asset Protection Trusts ("DAPT"), and sometimes informally called "Alaska trusts", as Alaska was a pioneer in allowing this kind of spendthrift trust.