4 ms·

As a non-litigator, i call BS. Facts don't matter much when it comes to justice. Try suing a small businesses LLC for some wrong doing: they'll file bankruptcy

As a non-litigator, i call BS. Facts don't matter much when it comes to justice. Try suing a small businesses LLC for some wrong doing: they'll file bankruptcy and you'll never see your money.

ska 7y ago
That's sort of the point of an LLC, though, so you can't really fault it. True, if it's a one-person shop the friction to fold it up isn't very high but you should factor that into your deal analysis.
ta1234567890 7y ago
As someone who has been personally sued after my company went bankrupt, I can tell you that it is not as simple as you paint it. Although I wish it was. Some more detail: during bankruptcy, anyone that had business with the company can either file an adversary proceeding (essentially a lawsuit within bankruptcy court), and/or can do depositions/discovery (2004 examinations). They can also buys assets of the defunct company as well as legal claims to go after the company officers. Then after bankruptcy they can try to use whatever information, assets and claims they acquired, to sue the company officials personally.
- MegaButts 7y ago
  > Some more detail: during bankruptcy, anyone that had business with the company can either file an adversary proceeding (essentially a lawsuit within bankruptcy court), and/or can do depositions/discovery (2004 examinations). They can also buys assets of the defunct company as well as legal claims to go after the company officers. Then after bankruptcy they can try to use whatever information, assets and claims they acquired, to sue the company officials personally. What on Earth could make someone so angry to go through the hassle of doing this?
  - ta1234567890 7y ago
    Not necessarily angry, but greedy maybe. Although at this point your guess is just as good as mine. Unfortunaty this guy has a lot of money and some sort of personal agenda against my cofounder and I. Hopefully we can sort it out. Otherwise we are looking at personal bankruptcy. Make sure to stay away from assholes and never sign a contract that says you (your company), will cover the other party's legal expenses.
    - MegaButts 7y ago
      I obviously don't know the situation as well as you, but this feels more like being vindictive than greedy. Whatever the case, I wish you luck.
      - freejazz 7y ago
        I'm sorry, you are asking why is someone so greedy as to make a creditor's claim for money owed to them in a bankruptcy proceeding? That's the entire point of bankruptcy, you declare it, the creditors line up, the court doles out your money in the "fairest" way possible.
  - workingpatrick 7y ago
    What on Earth could make someone so GREEDY to go through the hassle of doing this? FTFY

As a non-litigator, i call BS. Facts don't matter much when it comes to justice. Try suing a small businesses LLC for some wrong doing: they'll file bankruptcy and you'll never see your money.

ska 7y ago

That's sort of the point of an LLC, though, so you can't really fault it. True, if it's a one-person shop the friction to fold it up isn't very high but you should factor that into your deal analysis.

ta1234567890 7y ago

As someone who has been personally sued after my company went bankrupt, I can tell you that it is not as simple as you paint it. Although I wish it was. Some more detail: during bankruptcy, anyone that had business with the company can either file an adversary proceeding (essentially a lawsuit within bankruptcy court), and/or can do depositions/discovery (2004 examinations). They can also buys assets of the defunct company as well as legal claims to go after the company officers. Then after bankruptcy they can try to use whatever information, assets and claims they acquired, to sue the company officials personally.

MegaButts 7y ago
> Some more detail: during bankruptcy, anyone that had business with the company can either file an adversary proceeding (essentially a lawsuit within bankruptcy court), and/or can do depositions/discovery (2004 examinations). They can also buys assets of the defunct company as well as legal claims to go after the company officers. Then after bankruptcy they can try to use whatever information, assets and claims they acquired, to sue the company officials personally. What on Earth could make someone so angry to go through the hassle of doing this?
- ta1234567890 7y ago
  Not necessarily angry, but greedy maybe. Although at this point your guess is just as good as mine. Unfortunaty this guy has a lot of money and some sort of personal agenda against my cofounder and I. Hopefully we can sort it out. Otherwise we are looking at personal bankruptcy. Make sure to stay away from assholes and never sign a contract that says you (your company), will cover the other party's legal expenses.
  - MegaButts 7y ago
    I obviously don't know the situation as well as you, but this feels more like being vindictive than greedy. Whatever the case, I wish you luck.
    - freejazz 7y ago
      I'm sorry, you are asking why is someone so greedy as to make a creditor's claim for money owed to them in a bankruptcy proceeding? That's the entire point of bankruptcy, you declare it, the creditors line up, the court doles out your money in the "fairest" way possible.
- workingpatrick 7y ago
  What on Earth could make someone so GREEDY to go through the hassle of doing this? FTFY