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If a person is filing bankruptcy and is a managing partner of an LLC can the LLC continue?
Wiki User
∙ 14y ago
An LLC is a separate legal entity, so it is not directly affected by a bankruptcy filing by one of the owners. The bankruptcy filer must disclose the share of the ownership and its value, if one can be established, and if the value cannot be exempted, the share may become part of the bankrupt's estate and sold by the trustee. The remaining owner(s) may want to negotiate and buy the share, but generally the sale has to be by an auction, unless the trustee is satisfied no one would bid at an auction, or would bid very much.
It depends a lot on how well the LLC is operating and if it is making a profit to share among the owners. Small LLCs often have no value beyond the assets owned by it. Many LLC owners like to have the LLC buy vehicles they use as personal vehicles, which can cause serious problems for a bankrupt co-owner.
The more the LLC functions as a truly separate legal operating business, the better. The more commingled personal and business assets are, the worse it is.
Wiki User
∙ 14y ago
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Will your credit rating be affected by your partner filing bankruptcy?
If your partner files for bankruptcy and you don't then the bankruptcy will not appear on your credit report. But you will be partly responsible for before bankruptcy filing. Generally filing bankruptcy will affect the credit rating of the individual who filed it.
Can an hoa collect after bankruptcy?
Yes. Assessments are due and owing on the date of filing and thereafter. If past-due assessments -- owed to the date of filing -- were listed in the bankruptcy filing, they have been handled by the referee and must be treated as subject to those rulings.
Is there a time limit for banks to foreclose on your home after filing bankruptcy been discharged?
The bankruptcy law does not set a time limit for banks to foreclose on your home after filing bankruptcy. In fact, banks are prevented from foreclosing or continuing a foreclosure already in process upon the filing of a bankruptcy without first obtaining an order from the bankruptcy court allowing it to foreclose or continue a foreclosure already commenced.
Can an HOA collect after bankruptcy or continue to bill?
Work with your bankruptcy attorney to verify which debts are included in your filing. As of the date of your filing, ongoing assessments become due and owing, together with any new special assessments or fines incurred after that date.
Should a Christian file bankruptcy?
Filing bankruptcy has no affiliation with religion. If filing bankruptcy is he best financial options available, then you should do it.
In order to file bankruptcy must you have a bankruptcy attorney?
If you are filing for personal bankruptcy it is not necessary to have a lawyer. If you are filing for business bankruptcy, you must retain a lawyer on your behalf.
Will filing chapter 13 bankruptcy affect a recent joint bank account?
If you have filed for bankruptcy as an individual, rather than as a couple, then you are only filing on your personal debts. Following this logic, only those funds that are yours (so your share of the bank account, if that is possible) will be "up for grabs." Your bankruptcy status should not have an effect on your partner.
How can you find out if a garnishment has been stopped by filing bankruptcy?
Bankruptcy will not stop a garnishment. You cannot set aside civil judgments by filing bankruptcy.
Does having a car in repo effect filing for bankruptcy?
No - having had a car that was re-possessed will not affect the filing of a Bankruptcy.
Is paying off SallieMae college loan manadatory if you are filing for bankruptcy?
Student loans from any lender are not usually dischargeable in bankruptcy. They will temporarily stop collection during the proceedings, but interest will continue to accrue.
In a Chapter 7 bankruptcy a person filing for relief is called a?
In a Chapter 7 bankruptcy, a person filing for relief is called a
Can you avoid criminal charges by filing bankruptcy?
No. Bankruptcy is a civil act.
