Legal Question in Credit and Debt Law in Utah

Personal Gaurantee

Can I be held liable for corporate debt if I am no longer part of a corporation? I was one of the original members of the company and I helped to open lines of credit. I just want to be sure that I am not going to be held liable for corporate debt now that I am no longer part of the organization.


Asked on 7/13/01, 10:03 am

1 Answer from Attorneys
Alvin Lundgren Alvin R. Lundgren, L.C.

Re: Personal Gaurantee

Generally there is no personal liability for corporate debt, unless you expressly personally guaranteed the debt. If in doubt, get copies of all credit or loan documents which you signed. You may also want to get a letter of indemnification from the corporation, holding you harmless from any corporate debts.

You may have liability for unpaid taxes regardless. So make sure that all taxes have been paid.

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Answered on 7/13/01, 1:06 pm


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