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Subject:
LLC, Credit Card Debt
Category: Business and Money > Small Businesses Asked by: rockhard3232-ga List Price: $2.00 |
Posted:
21 Jul 2006 16:00 PDT
Expires: 20 Aug 2006 16:00 PDT Question ID: 748401 |
Hello, I recently formed a LLC in the State of California and when doing so, my partner signed the Articles of Organization as the "registered agent". After which, I sent information claiming both as members of the LLC. Months later, we signed a document which stated that he was relinquishing ownership duties, but would fulfill a management position. That was then. The case now is bleak. We had an AMEX account with two cards, one for me, the other for him. I was the main account holder however, and now I'm in a position where he's charged around $8k in unbusiness related spend and I'm not sure if he can pay. I'm trying to play it cool, so he pays his debt, and then I'm dropping him altogether. The question: If he cannot fulfill the responsibility to pay his debt, is it the burden of me to do so, even as a LLC? Also, his credit card has his name on it, and social, plus I have emails proving he agreed to pay for his debt. Any advice helps |
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There is no answer at this time. |
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Subject:
Re: LLC, Credit Card Debt
From: gregaw-ga on 24 Jul 2006 08:25 PDT |
Whoever the credit card bills/statement is sent to is usually the one responsible for payment. If you are solely responsible for the LLC then you owe the money. I've had company credit cards before with my name and information on it, but it is the company that is responsible to pay for it. I signed my life away to my employer to get the credit, stating that if I misused it I would pay for everything, but that was between me and my employer. As far as the credit card company is concerned it is the business that owes them the money. The emails may help you if you have to take this guy to court to get your money out of him, but you will be the one liable for to the credit card company. You're on the right track to get rid of him as soon as possible. I hope the credit card is already cut up. Good Luck! |
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