Legal Question in Bankruptcy in California
Personal Gurentee
Hello,
someone and I entered into a partnership and formed an s-corporation in california. We needed to lease a piece of equipement. The company that offered us the lease needed both of us to sign a personal gurentee forms as part of the process to getting the lease approved and they did. We were not fully comfertable after all taking on such large liability. However, two months later my partner without my full agreement signed the lease alone by himself being the president of the corporation. Also, there was no written board meeting minutes to approve such lease. Now is he the only one liable for the lease if the corporation defaults? Thank you in advance,
2 Answers from Attorneys
Re: Personal Gurentee
Without reviewing the documents, it is impossible to say who is obligated to what. Generally, a personal guarantee does require your signature, but again, without reviewing documents, it is impossible to say.
*Due to the limitations of the LawGuru Forums, The Gibbs Law Firm, APC's (the "Firm") participation in responding to questions posted herein does not constitute legal advice, nor legal representation of the person or entity posting a question. No Attorney/Client relationship is or shall be construed to be created hereby. The information provided is general and requires that the poster obtain specific legal advice from an attorney. The poster shall not rely upon the information provided herein as legal advice nor as the basis for making any decisions of legal consequence.
Re: Personal Gurentee
The purpose of creating a corporation is to avoid liability in the event the business fails. It is not clear from your question whether you signed a personal guarantee or not, If you did then you could have personal liability. If you did not, then you probably would not have any personal liability.
Related Questions & Answers
-
Bankruptcy I recently incurred some major medical bills and have to file... Asked 8/07/08, 12:53 pm in United States California Bankruptcy Law
-
Bankruptcy The process dip number is this the same as the case number? Asked 8/06/08, 1:46 pm in United States California Bankruptcy Law
Looking for something else?
10,200 active attorneys ready to answer your legal questions today.
Featured Attorneys
Earn additional revenue and grow your business.
