Legal Question in Business Law in California

The financial institution will obtain a default judgment against the corporation. In my somewhat limited experience with this issue, the institution may try to "pierce the corporate veil" and collect from you. You are likely to prevail against such an effort unless any of the following is true:

(1) You are named in the suit - possible as a Doe defendant - and appear and defend;

(2) You have personally guaranteed the debt being sued upon; or

(3) In the dissolution of the corporation, you have previously, or do subsequently, take anything of value out of the corporation while it is insolvent and has not paid its creditors.

If the creditor here is a credit-card issuer, be particularly careful that you have never, never signed anything remotely suggesting that you would pay, guarantee, back up, defend, etc. charges made on the card on behalf of the corporation.