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hello, my husband and i owned a school, we owe students ...

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hello, my husband and i...
hello, my husband and i owned a school, we owe students about 2.4 millon dollars, we run into a major cash crunch that put us out of business, along with other business losses from last year that showed their effect this year. we have worked very hard to try to avoid it, we tried to sell it but we could not. can we go to jail if we can''t pay the money back? and if so what would be the circumstances that it would end in jail?
Submitted: 9 years ago.Category: Bankruptcy Law
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7/14/2008
Bankruptcy Lawyer: TJ, Esq., Attorney replied 9 years ago
TJ, Esq.
TJ, Esq., Attorney
Category: Bankruptcy Law
Satisfied Customers: 12,554
Experience: JD, MBA
Verified

Hello and thank you for allowing me to address your legal question.

No, you cannot go to jail for simply failing to pay your bills. However, if you somehow intentionally defrauded somebody, then that could lead to jail. For example, if you intentionally misled people into giving you money knowing that they would never be repaid because you were going out of business, then that could be considered fraudulent. Fortunately, the law sees a difference between being a poor business person and being a criminal.

If the information that I provided was helpful, please remember to ACCEPT my post as that is the only way I will receive credit and compensation for my answer. Thank you and good luck!

DISCLAIMER: Please understand that the complexities of most legal problems cannot be sufficiently addressed in this setting. Accordingly, my post is intended as general information only, and should neither be construed as specific legal advice, nor as an adequate substitute for the retention of legal counsel.

TJ, Esq.
TJ, Esq., Attorney
Category: Bankruptcy Law
Satisfied Customers: 12,554
Experience: JD, MBA
Verified
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