If They Can’t Pay, Sue Everyone!
One of the main reasons business owners form an LLC or incorporate is to shield themselves from personal liability for company debts. To justify the notion of limited liability for owners, corporations and limited liability companies have long been considered fictitious legal entities that are separate and apart from their owners. However, if a litigious claimant convinces a court that the owner is merely the alter ego of the company, the owner of a corporation or LLC can be held personally liable for company debts.
Read More – August 2015 Legal Update