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Dave Kennett
Dave Kennett, Attorney
Category: Business Law
Satisfied Customers: 27689
Experience:  25 years practicing law
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My spouse is being sued personally and our llc is being sued

Customer Question

My spouse is being sued personally and our llc is being sued bc of a car accident she was in. I am listed as a member in our llc, i am not named in lawsuit, my name was not on car title, but the trailer being pulled was owned by the llc. Are my personal assets at risk? This is result of a car accident. Guy is sueing for more than policy limits
Submitted: 4 years ago.
Category: Business Law
Expert:  Dave Kennett replied 4 years ago.
Dear Customer - I see no risk as to your personal assets that are not in joint names. If the suit is only against your husband then the liability would be his and only his assets would be at risk. If he was driving a company owned vehicle the company can also have some exposure. I am assuming the insurance company is providing a defense to the case, policy limits or not. So long as no judgment is filed against you in your name you should have no personal liability.
Customer: replied 4 years ago.
What if my name is listed as a member of the llc that is being sued
Expert:  Dave Kennett replied 4 years ago.
The LLC is at risk but not your personal assets. By definition LLC stands for "limited liability corporation" so that's the whole purpose of incorporating.
Customer: replied 4 years ago.
What if insurance limits are not enough? Scared to death., never dealt with this before
Expert:  Dave Kennett replied 4 years ago.
The insurance limits are what they are. If the judgment is more than the insurance limits then your husband and the LLC could be liable for the amount over the limits but it does not affect your personal assets. I'm not certain of all the facts of the case or what the amounts involved may be but many times cases are solved with the insurance company simply offering the policy limits to settle. I have no way of telling you what the outcome of any court case will be but if the suit is not against you personally then you are not personally liable.
Customer: replied 4 years ago.
Expert:  Dave Kennett replied 4 years ago.
No problem and thanks for using our service - Dave

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