Ask a Business Lawyer. Get Business Law Questions Answered ASAP.
Ok. The articles of dissolution must contain a provision that outlines your arrangements to pay off or settle all debts. Because you've got a personal guarantee on the debt, you can provide that the debt can be settled through the personal guarantee if the LLC has no assets or money to pay; this will allow the LLC to proceed with dissolution.
Because the creditor can sue a member on the personal guarantee the creditor can continue to collect on its debt.
DISCLAIMER: Answers from Experts on JustAnswer are not substitutes for the advice of an attorney. JustAnswer is a public forum and questions and responses are not private or confidential or protected by the attorney-client privilege. The Expert above is not your attorney, and the response above is not legal advice. You should not read this response to propose specific action or address specific circumstances, but only to give you a sense of general principles of law that might affect the situation you describe. Application of these general principles to particular circumstances must be done by a lawyer who has spoken with you in confidence, learned all relevant information, and explored various options. Before acting on these general principles, you should hire a lawyer licensed to practice law in the jurisdiction to which your question pertains.
The responses above are from individual Experts, not JustAnswer. The site and services are provided “as is”. To view the verified credential of an Expert, click on the “Verified” symbol in the Expert’s profile. This site is not for emergency questions which should be directed immediately by telephone or in-person to qualified professionals. Please carefully read the Terms of Service (last updated February 8, 2012).