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Ely
Ely, Counselor at Law
Category: Real Estate Law
Satisfied Customers: 100053
Experience:  Qualified attorney in private practice including business, family, criminal, and real estate issues.
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If my Church cannot pay the rent due to tithing decreasing

Customer Question

If my Church cannot pay the rent due to tithing decreasing can the landlord come after me personally?
Submitted: 8 months ago.
Category: Real Estate Law
Expert:  Ely replied 8 months ago.

Hello and welcome to JustAnswer. Please note: This is general information for educational purposes only and is not legal advice. No specific course of action is proposed herein, and no attorney-client relationship or privilege is formed by speaking to an expert on this site. By continuing, you confirm that you understand and agree to these terms.

I am sorry to hear about this situation. I understand this to mean that you "own" the Church, or at least the non-profit corporation behind it.

If so, then the landlord cannot sue the person behind the non-profit corporation. This is because a corporation provides the owner with liability protection. If it is the corporation which is on the lease, then it is liable and not the person. The corporation is seen as a separate, legal entity. The landlord can sue the non-profit, not the person behind it.

However the landlord can attempt to hold the person behind it liable as well if they can pierce the corporate veil. See HERE. But this is ONLY if the landlord tries, and convinces the Court that the veiled should indeed be pierced. Until and unless this happens, the presumption is that the corporation is a separate entity.

I hope this helps and clarifies. Please use the SEND or REPLY button to keep chatting, or please RATE when finished. You may always ask follow ups at no charge after rating. Kindly rate my answer as one of TOP THREE FACES/STARS and then SUBMIT, as this is how experts get credit for our time. Rating my answer the bottom two faces/stars (or failing to submit the rating) does not give me credit and reflects poorly on me, even if my answer is correct. I work very hard to formulate an informative and honest answer for you; please reciprocate my good faith with a positive rating.

Expert:  Ely replied 8 months ago.
Hello again. This is a courtesy check in to see if you needed anything else in regards ***** ***** question because you never responded or replied positively. I am simply touching base. Let me know. Thanks!

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