My previous landlord is suing me for what he calls back rent. I owe approx $12,400.00 but he is suing me for $127,800. If I file bankruptcy and open under a new name can he garnish me?
Answer
As a Franchise Attorney I can only say the following. He will not be able to garnish until after he gets a judgement. If you do the bankruptcy properly and list the lease as a debt to be discharged, it's over. Consult with a good bankruptcy or franchise attorney in your area for specific advice.
Mr. Franchise - Kevin B. Murphy, B.S., M.B.A., J.D.
Franchise Foundations, a Professional Corporation
Answer
Most individual debts are dischargeable in bankruptcy, so absent unusual facts, if you qualify to file, a bankruptcy may solve the suit problem.
The fly in the ointment is you ask "open under a new name." Businesses are treated differently than individuals in bankruptcy.
So I need a lot more detail to properly answer you.
Answer
If you are referring to an incorporated business, you can certainly start a new company. However, unless you file commercial bankruptcy, you cannot dissolve the existing company without first satisfying all creditors. Transferring assets to the new company without doing so will mean the new company will most likely also have the same liability.
If you would like to discuss any issues further, please feel free to contact my office. The link to my contact information is below. Thank you.
The foregoing is general information only, not specific legal advice. No attorney/client relation has been created or should be implied.
No comments:
Post a Comment