If debtor dissolves an entity during his personal BK do those as...
Posted: Thu Mar 06, 2014 4:19 pm
Were the LLC debts paid from the LLC assets? Is this a CA LLC? Was
anything actually submitted to the Secretary of State to formally dissolve the
LLC?
Mark T. Jessee
Law Offices of Mark T. Jessee
"A Debt Relief Agency"
50 W. Hillcrest Drive, Suite 200
Thousand Oaks, CA 91360
(805) 497-5868 (805) 497-5864 (Facsimile)
In a message dated 3/6/2014 3:55:30 P.M. Pacific Standard Time,
hollyroark22@gmail.com writes:
No, the debt against the LLC is not secured by the LLC assets; they are
separate.
Holly Roark
Certified Bankruptcy Specialist*
_holly@roarklawoffices.com_ (mailto:holly@roarklawoffices.com) **primary
email address**
_www.roarklawoffices.com_ (http://www.roarklawoffices.com/)
Central District of California
Consumer Bankruptcy Attorney
1875 Century Park East, Suite 600
Los Angeles, CA 90067
T (310) 553-2600
F (310) 553-2601
*By State Bar of California Board of Legal Specialization
**For a quicker response, email me at _holly@roarklawoffices.com_
(mailto:holly@roarklawoffices.com) .
I only use gmail for my listservs, and am likely to miss private emails directed to my gmail account.**
On Thu, Mar 6, 2014 at 3:40 PM, Clifford Bordeaux wrote:
Was the LLC debt secured by the LLC real estate? If so, then I wouldn't
think the transfer would matter much, since the estate would now have realestate worth $15K, instead of having an LLC worth $15K. If not, then I think
the debtor has a problem. The property is now "property of the estate"
pursuant to 541(a)(7) and the debtor would not want to attempt to transferthe property back to the LLC, as this could give rise to a Section 549
avoidance action.
Clifford Bordeaux
Bordeaux Law, P.C.
3731 Wilshire Boulevard, Suite 600
Los Angeles, CA 90010
T: _323-762-5529_ (tel:323-762-5529)
T: _626-405-2345_ (tel:626-405-2345)
F: _626-628-1820_ (tel:626-628-1820)
E: _cliff@bordeauxlaw.com_ (mailto:cliff@bordeauxlaw.com)
(http://www.bordeauxlaw.com/)
On Thu, Mar 6, 2014 at 1:10 PM, Peter M. Lively
wrote:
Dissolution of the LLC effectuates a transfer of the real property from
the LLC to the debtor which may have tax consequences.
Peter M. Lively, J.D., M.B.A.
Law Office of Peter M. Lively * Personal Financial Law Center I
11268 Washington Boulevard, Suite 203, Culver City, California 90230-4647
Telephone: _(310) 391-2400_ (tel:(310)%20391-2400) * Toll Free: _(800)
307-3328_ (tel:(800)%20307-3328) * Fax: _(310) 391-2462_
(tel:(310)%20391-2462)
On Thursday, March 6, 2014 6:27 AM, Stella Havkin
wrote:
In most states, the LLC can be reinstated with a form.
Sent from my Stella Havkin's iPad
On Mar 5, 2014, at 10:00 PM, Holly Roark wrote:
Debtor filed a personal BK. He had a single member LLC that owns real
property which is not worth much (approx. $30K). The LLC has debts against it
which reduce the equity in the LLC to about $15K which we can exempt. BUT,the Debtor filed a dissolution of the LLC postfiling and pre341(a). So, I am
not sure whether the debts of the LLC still offset the equity in the
property, or whether it's as if he was just a dba. The property is in the name
of the LLC.
[Ultimately, it may not matter because the property is a big liability, isin a high crime area out of state, and probably unsellable, but just in
case, I need to understand the effect of him dissolving the LLC after
filing.] I understand that the debtor may not have had the authority to dissolve
the LLC since it's property of the estate, but it's done already.
Holly Roark
Certified Bankruptcy Specialist*
_holly@roarklawoffices.com_ (mailto:holly@roarklawoffices.com) **primary
email address**
http://www.roarklawoffices.com/
Central District of California
Consumer Bankruptcy Attorney
1875 Century Park East, Suite 600
Los Angeles, CA 90067
T _(310) 553-2600_ (tel:(310)%20553-2600)
F _(310) 553-2601_ (tel:(310)%20553-2601)
*By State Bar of California Board of Legal Specialization
**For a quicker response, email me at _holly@roarklawoffices.com_
(mailto:holly@roarklawoffices.com) .
I only use gmail for my listservs, and am likely to miss private emails
directed to my gmail account.**
Were the LLC debts paid from the LLC assets? Is this a CA
LLC? Was anything actually submitted to the Secretary of State to
formally dissolve the LLC?
Mark T.
JesseeLaw Offices of Mark T. Jessee"A Debt Relief Agency"50 W.Hillcrest Drive, Suite 200Thousand Oaks, CA 91360(805) 497-5868 (805)
497-5864 (Facsimile)
In a message dated 3/6/2014 3:55:30 P.M. Pacific Standard Time,
hollyroark22@gmail.com writes:
No, the debt against the LLC is not secured by the LLC assets;
they are separate.
Holly Roark
Certified Bankruptcy Specialist*
holly@roarklawoffices.com **primary email
address**
www.roarklawoffices.com
Central District of California
Consumer Bankruptcy Attorney
1875 Century Park East, Suite 600
Los Angeles, CA 90067
T (310) 553-2600
F (310) 553-2601
*By State Bar of California Board of Legal Specialization
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