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Loren, Attorney
Category: Business Law
Satisfied Customers: 28507
Experience:  30 years experience representing clients .
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If i purchase a business (BUSINESS ASSET AND LEASE SALE)but

Customer Question

If i purchase a business (BUSINESS ASSET AND LEASE SALE)but not the corp, and the previous corp has UCC filings for the assets. If I purchase the business can they take the assets away afterwards? even though it's under a new corp
Submitted: 6 months ago.
Category: Business Law
Expert:  Loren replied 6 months ago.
Good afternoon. I am Loren, a licensed attorney, and I look forward to answering your question.
Customer: replied 6 months ago.
Great Alex here
Expert:  Loren replied 6 months ago.
Are you asking if an asset pledged as collateral and covered by a UCC filing retains its encumbrance if sold to another party without a release from the lender?
Customer: replied 6 months ago.
Well I guess that's what it might be. Again, The current business owners is selling his restaurant business but I found out he has two ucc filings for the equipment in his restaurant. I don't want to acquire his corp. a new corp will be opened, I just want the lease location and the business assets.
Expert:  Loren replied 6 months ago.
Thank you for the additional information.Any assets you purchase will remain subject to their pledge as collateral or security unless you get a release of those assets from the lender. So, yes, they could be legally repossessed from you if the borrower defaults.
Expert:  Loren replied 6 months ago.
Are you still online with me?
Expert:  Loren replied 6 months ago.
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