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I work for myself and my company is incorporated. A client has threatened to put a lien on my house. Can he do this?
Atlanta, GA
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Posted 9 months ago in Lawsuits / Disputes
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Isn't my personal property separate from the corporation? Is this just a bogus threat to try and make me pay him back?
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Answers (2)Margery Ellen Golant
This attorney is licensed in Florida and 1 other state.
Posted 9 months ago.
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So long as you maintain a proper separation between yourself and your corporation, your personal assets should not be at risk for any obligations of your corporation. However, it has been my experience that many people do fail to do this properly. There is a legal procedure called "piercing the corporate veil" which, under circumstances, allows creditors to reach the individuals behind a corporation.
However, it may well be a bogus threat. The only way to understand whether you are exposed, you should consult a local attorney who handles corporate matters to make sure that you have done the right things to maintain a separation between you and your corporation. Kevin M. Veler
This attorney is licensed in Georgia and 1 other state.
Posted 9 months ago.
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Technically anyone can put a lien on your home at any time. That does not mean that they have a valid enforceable lien or that you are without remedies for a fraudulent lien, including a slander of title action.
The prior answer included important information about piercing the corporate veil. There are some claims that may be viable against an individual (such as a corporate officer) and the corporation however this would not generally authorize a lien prior to obtaining a judgment in litigation. This answer and any information contained in this answer is not intended to be treated as legal advice. This posting does not create an attorney-client relationship or privilege of any kind. This attorney actively licensed only in the State of Georgia.
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