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Damien Bosco
Damien Bosco, Attorney
Category: Business Law
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I was a managing member of an LLC in Florida. The LLC is

Customer Question

I was a managing member of an LLC in Florida. The LLC is still in operation, but I am no longer involved. I am now being threatened with a law suit from a credit card leasing company in New York for two terminals that were returned unused because we ended up not using their services. When filling out the paperwork, I signed a personal guarantee and the LLC refuses to pay the bill. If I end up being summoned to appear in a NYC court, do I have to go? Am I liable even though the business (LLC) that leased the equipment is still in operation? I do not have the ability to pay off the lease and I am not sure what to do???
Submitted: 9 months ago.
Category: Business Law
Expert:  Damien Bosco replied 9 months ago.

Hello. My name is***** am an attorney. I will review your question. I may need to clarify facts first. I will answer & we can discuss issues.

Customer: replied 9 months ago.
Expert:  Damien Bosco replied 9 months ago.

Hi John: Sorry for this situation. A creditor can sue both the LLC and the person who offered a guarantee. So, I creditor would sue both but if the LLC has the money, the LLC would have to pay. Not sure if this contract stated New York as the jurisdiction. If so, you may have to go to New York. Sometimes a defendant can make a motion to dismiss based on lack of jurisdiction, but that does not get rid of the creditor's claim since it would be able to bring the action in the proper jurisdiction. I know this is not quite what you wanted to hear, but it is important that you know. We can continue to discuss if you want to do so.

Expert:  Damien Bosco replied 9 months ago.

Hello John: Just following up. I know my answer was not exactly what you wanted to hear. But is it better to know what is expected in this situation. I hope that I have provided excellent service. If you are satisfied with your answer, please provide a positive rating between 3 and 5 stars for the service I provided to you. Best regards. If you have a follow up question, just let me know

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