How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site. Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask socrateaser Your Own Question
socrateaser, Attorney
Category: Business Law
Satisfied Customers: 39129
Experience:  Retired (mostly)
Type Your Business Law Question Here...
socrateaser is online now
A new question is answered every 9 seconds

I am ceasing trading tomorrow as director of a limited ...

This answer was rated:

I am ceasing trading tomorrow as director of a limited liability company but some of the companies assets, in this case, sunbeds, will still be on the premises. Our rent is 3 months in advance so I assume that I can still enter the premises, but whose responsibility will the beds become? We may be able to get someone to take them but if there is going to be a cost, I am liable for it?

If you mean that you're ceasing business, and you still have assets, the LLC remains solely responsible for the assets, unless the members have accepted personal liability for the debts.

In either case, you have a fiduciary duty to the company to try to get some value for the beds, as as to pay down any debt. You may want to consider offering them to the lender in exchange for foregiveness of some of the debt.

Customer: replied 9 years ago.
Reply to socrateaser's Post: Hi, my wife and I are the only directors and the business has only one secured debt with the bamk which I am sorting out. My question was in relation to our landlord really. That is, are we liable for any costs involved in removing the assets from his premises if we cannot sell them?

Your liability to the landlord would be entirely based upon the lease terms and conditions. If it's not covered in the lease, then generally, if you damage the premises by removing trade fixtures, then the landlord could hold you liable. But, if you did not personally guarantee the lease, then the landlord can only hold the LLC liable, not you personally. That is, UNLESS your actions are wantonly reckless, or intentionally distructive, meaning outside the scope of employment by the LLC, then the landlord could come after you personally for the damage.


socrateaser and 9 other Business Law Specialists are ready to help you