If I have personal unpaid debt, can the creditors go after a business LLC that has my name on it?
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If I have personal unpaid debt, can the creditors go after a business LLC that has my name on it?
Asked on August 1, 2012 under Business Law, California
Answers:
Terence Fenelon / Law Offices of Terence Fenelon
Answered 12 years ago | Contributor
Technically, the creditor cannot go after the business. However, after gaining a judgment, they can submit you to collection procedures in which you may have to reveal your interest in the LLC. They may then attempt to force you to turn over your interests, as they are considered personal property, to satisfy the underlying debt.
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