We have an LLC but are being sued personally for medical bills can they take money out of our LLC to satisfy the

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Customer: We have an LLC but are being sued personally for medical bills can they take money out of our LLC to satisfy the judgement
JA: Can you tell me what state the LLC is registered in?
Customer: north dakota
JA: Has anything been officially filed? If so, what?
Customer: nothing yet but in the next several days it will be
JA: Is there anything else the Lawyer should know before I connect you? Rest assured that they'll be able to help you.
Customer: no
Answered by TraceyJ125 in 3 mins 5 months ago
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TraceyJ125
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TraceyJ125
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TraceyJ125, Expert

Good afternoon, my name is ***** ***** I am the attorney who will be assisting you with this question. I’ve been practicing law for over 15 years and I’d be happy to resolve your question. Please note that this exchange does not constitute an attorney client relationship. THERE MAY BE A DELAY IN MY RESPONSE BECAUSE I AM REVIEWING AND RESEARCHING YOUR QUESTION, AS WELL AS ASSISTING OTHER CUSTOMERS. PLEASE ALLOW TIME FOR ME TO RESPOND. IF I AM CALLED AWAY, I WILL RESPOND AS SOON AS I AM ABLE. Requests for a phone call are automated and are not coming from me directly. Thank you for your question. I am reviewing it now and will respond here after.

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TraceyJ125, Expert

Okay thank you.  Am I right you want to know if the assets of the LLC can be attached to satisfy a judgment entered against in your personal capacity only?  Are the owners of the LLC the very same owners against whom the judgment was entered?

Customer
That is correct and yes, names are ***** ***** on both the personal judgment and the LLC
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TraceyJ125, Expert

They would have to show there is no separation between your funds and the LLC's funds--that they are comingled.  OR that if they can show you attempted to hide funds in the LLC that would a reason to "pierce the corporate veil" which is to set aside the legal separation created when that entity was formed and attach those assets.  So please be careful.  Outside those showings, those assets do not belong to you, but to the LLC and can not normally be attached to satisfy a judgment in your names only.  Please let me know if you have other questions about this.

Customer
One last question does it change anything if there is a additional partner in the llc
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TraceyJ125, Expert

No, it would be harder to pierce the corporate veil.  But in general what I said above still applies leading with the premise that those assets do not belong to an individual but the LLC.  But I do think it decreases their chances of being able to reach those assets.  Of course if wasn't in place prior to judgment, it can be viewed as you all deliberately protecting the assets from the judgment and will be disregarded.   Please let me know if you have other questions about this.

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TraceyJ125, Expert

Okay thank you.  Feel free to reach out if you have other questions about this. Take care and happy holidays,

Thank you for using Just Answer! It was my pleasure helping you with your matter. Feel free to reach out to me at . In the future you can request me by opening a new question. Begin the new question as “ForCustomerOnly.” You will also be able to follow up with me directly on this chat for several days. Take care and I wish the best resolution for your situation.

Please add me to your favorites at the bottom of the page so you can get to me more directly in the future. Also, you can reach me directly in chat just by typing @TraceyJ125 in the new question chat.

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