I have a personal credit card judgement. Can I protect our family business?

Dean (Guest) on Monday, October 01 2012, 07:32 PM
We own a small family business in Needham and it is doing OK, but not good enough to pay off a credit card judgment against me personally. The bank that handles my business account is worried the credit card company could come after business assets or monies. What can I do to protect the family business?
1 response Add Yours
       
  •  
    Replied by Attorney Cameron Pease on Friday, October 05 2012, 02:05 PM · Hide · #1
    If your business is a sole proprietorship and/or partnership, your credit card company could attempt to attach the assets of your business to pay the debt you owe the credit card company. If your company is a corporation, limited liability partnership (i.e. LLP), and/or limited liability company (i.e. LLC), it is a separate legal entity from you individually and your credit card company cannot go after the business assets. If your business is not currently a corporation, LLC or LLP, you should consider forming one of these entities to protect both your business and personal assets. By setting up a corporation, LLC or LLP, your personal and business assets will be kept separate and you will not be personally liable for debts of the business. You can only loose the amount you have invested in the corporation, LLC or LLP on any debts owed by the business. You should consult with a lawyer and they can describe for you the benefits of establishing a corporation, LLC, and/or LLP.
Your Response

Top Massachusetts Attorneys Ready To Answer Your Questions

1
Attorney Stephen Morte
Attorney Stephen Morte
Divorce, Criminal Defense, Personal Injury
2
Attorney Austin Joyce
Attorney Austin Joyce
Trial & Litigation, Personal Injury
3
Attorney Joseph Leone
Attorney Joseph Leone
Divorce, Criminal Defense, Family Law
4
Attorney Michael Akerson
Attorney Michael Akerson
Business Law, Employment Law, Trial & Litigation
5
Attorney Craig Ciechanowski
Attorney Craig Ciechanowski
Business Law, Trial & Litigation, Real Estate
6
Attorney Jack Merrill
Attorney Jack Merrill
Employment Law
7
Attorney Bruce Watson
Attorney Bruce Watson
Divorce, Criminal Defense
8
Attorney Chesley Oriel
Attorney Chesley Oriel
Business Law, Real Estate
9
Attorney Kenneth Simmons
Attorney Kenneth Simmons
Estate Planning, Elder Law
10
Attorney Liam Floyd
Attorney Liam Floyd
Trial & Litigation, Personal Injury
11
Attorney Tracy Fischer
Attorney Tracy Fischer
Divorce, Family Law, Mediation
12
Attorney Damian Riddle
Attorney Damian Riddle
Criminal Defense, Family Law, Drunk Driving
13
Attorney David Rubin
Attorney David Rubin
Divorce, Personal Injury
14
Attorney Bill Keller
Attorney Bill Keller
Real Estate, Personal Injury
15
Attorney Ann Trehub
Attorney Ann Trehub
Personal Injury
16
Attorney Howard Goldman
Attorney Howard Goldman
Business Law, Trial & Litigation, Real Estate
17
Attorney Amy Beth Baron
Attorney Amy Beth Baron
Divorce, Family Law, Mediation
18
Attorney Cameron Pease
Attorney Cameron Pease
Business Law, Trial & Litigation, Real Estate
19
Attorney Larry Krasnow
Attorney Larry Krasnow
Trial & Litigation, Personal Injury, Elder Law
20
Attorney Steven Houde
Attorney Steven Houde
Personal Injury