Legal Question in Credit and Debt Law in North Carolina

I owned Clark Medical, Inc. It is now closed down. One company that this corporation owed money too put a Judgement on my personal credit report. Can they do that?


Asked on 8/10/10, 5:15 am

1 Answer from Attorneys

I don't know as you do not give me the relevant information. Did you sign a personal guarantee with this vendor or did you sign any documents in your personal capacity? In order to get a judgment, they had to sue you and/or Clark Medical.. Did you defend the lawsuit? It is possible that that this is an error by the credit bureaus, but I would need to see the credit report as well as the lawsuit to know if this is the case.

Read carefully what contracts Clark Medical and you signed with this company and note whether there was a personal guarantee. If you do not have the records, go to the court where the judgment was entered and look at the file. See who was named as a defendant in that lawsuit. Was it you, Clark Medical or both? Finally, look at your credit report to see how the debt is reported.

If this is purely a corporate debt and you signed no personal guarantees and if the judgment was only against the corporation but is reported on your credit report, then the information needs to be disputed with the credit bureau. I can do that for a reasonable fee or you can do it on your own. You need to send the credit bureau a copy of the judgment and explain that itis ponly against the corporation, not you.

You might want to include all three credit bureaus - if it is one one report, then it might be on the others too.

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Answered on 8/16/10, 8:41 am


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