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Who is the judgment against...you or the INC or both?
What assets does the INC have and how much are they worth?
You do not need to file BK. Since the judgment was against the INC, all you have to do is let them try to collect their money against the INC. You really are not supposed to sell the assets as that could be considered a fraudulent transfer ans subject you to personal liability where as of now, it appears you have none.
You can try to work out a payment plan if you need to keep the INC open for its name, but I would not bother otherwise.
The court will eventually issue orders to garnish the INC's bank accounts and seize its assets.
After that you can just wind up the corporation and start back up under a similar name.;
one last question and thanks for the information!Very helpful!
If I start operating under another name and put the ownership under my husband can I go ahead and shut the doors and start business or is it important to wait til they garnish before I do so?
If I do not file BK on the inc can they come after the new company?
thank you for all your help
They cannot come after the new company so long as you do not commingle the assets of the old company and the new company.
BK is not needed here, rather you need to dissolve the old inc after they complete their collection efforts. You may want to just invite the creditor to come and see what the inc has and take it so that you can short circuit the process and move on.
Starting the business in the same location and using the old business's customer list without paying fair value for it may cause some issues. So it is best to wait till the creditor takes what is left in the old and you close the old and dissolve it with the State's Sec of State's office.
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