BusinessWeek has an Article Posted on who is responsible for settling an LLC’s debts after a Dissolution:

Creditors of a valid LLC can collect only from the assets of the company, not personal assets or wages, and garnishments cannot be used against wages unless a money judgment has been awarded in court.

However, this is contingent on the LLC having been properly maintained:

Unfortunately, it’s also possible that you took some action while your company was in business that removed the protection of your LLC, such as signing a personal guarantee with the landlord or mingling personal and company funds.

Fortunately for MyNewCompany.com clients, our LLC Formation Packages include access to the “New LLC Handbook”, which tells you everything you need to know about running your LLC properly so that you can maintain your Liability Protection.

Related posts:

1. Protecting the Corporate Veil One of the primary benefits of incorporating or forming an LLC is the protection of the business owners personal assets...
2. You May Need Help When Forming LLC As you create a legal entity for your business, you may need more information about the benefits of forming LLC....

This entry was posted on Thursday, July 2nd, 2009 at 7:40 am and is filed under Incorporation, Limited Liability Company, Small Biz Management. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.