Legal Question in Business Law in California

Re: Personal Guarantees

You probably can't, other than by defending or settling the lawsuit[s] that could be brought against you personally. That is the whole point of personal guarantees, and the risk you accepted by signing them. If this is in SoCal courts, feel free to contact me for the legal help you'll need.

Re: Personal Guarantees

I agree with the previous answers. The one thing you must not do is succumb to the temptation to transfer or hide assets. This would be a fraud on the creditors and both you and any friend, relative, etc. knowingly assisting you could be in for hefty damages.

One pro-active area where you can help yourself is by involving yourself to the extent your ownership or executive authority allows in making sure other non-guarantor owners and managers are not taking unfair advantage of you. There may be personal butt-covering, nest-feathering, till-looting going on. The company's remaining assets must be protected for the creditors' demands, not taken out the back door by bookkeepers, purchasing agents, salesmen, etc. who know the end is near and are "getting theirs" while the getting is good. Even trusted employees tend to help themselves to more than just an occasional box of paper clips or 44c stamp when the handwriting is on the wall.

Re: Personal Guarantees

This is a case where there is no easy answer to a hard question. You need an attorney to review the business situation to determine the best strategy for asset protection. I have experience with positioning businesses for potential failure. There are no standard answers to your question, but the earlier you start dealing with it, the better you'll like the answers.