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I closed my small residential remodeling company 3 years ago.

Asked over 2 years ago - Atlanta, GA

Lawsuits

A former client filed a homeowners insurance claim for a shower pan they say leaked. The insurance company gave it to a Lawfirm for collections. Since the work was done 3 years ago and my company (sole proprieter) no longer exists. What action can they take?

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Attorney answers (1)

Glen Edward Ashman

Reputation Level 16

Answered over 2 years ago. Chapter 7 Bankruptcy Attorney in Atlanta, GA.

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Here's the bad news. If your company was a sole proprietorship, it exists today, as you and teh company are legally the same person. In other words, they can sue you, and, if they win, garnishee your wages, seize your bank account, and attach your home, car and other assets.

If the amount is large or if you have a lot of other debts, bankruptcy could be a route to consider.

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