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P. Simmons
P. Simmons, Attorney
Category: Business Law
Satisfied Customers: 34741
Experience:  12+ yrs. of legal experience.
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My boyfriend has been a self employed Drywaller for 15+ years,

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My boyfriend has been a self employed Drywaller for 15+ years, with no corporation or legal business entity set up. A couple years ago, he took out a workers comp policy through the NY State insurance fund, and was unable to pay the premium, and the policy was canceled with a $10k balance due.

If he forms an LLC, will the fund likely issue the LLC a policy, eventhough he, as an individual still owes them money? If not, what if he is only a minority shareholder in the LLC?
Thanks for the chance to help. I am an attorney with over 12 years experience. Hopefully I can help you with your legal question.

Not likely. He would need to declare ownership of this LLC, so it would be very clear to the state of NY what was going on (that he formed this LLC to avoid the other debt to the state). Once they make this link, they will refuse to cover the LLC.

SO the end result would be the cost to create the LLC would be wasted.

Sorry to have to bear bad news.
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