Is there any personal liability to corporate officers when a corporation files bankruptcy? Equipment & building lease? corporate credit cards?
Additional information
The Corporation is going to file backrupcy and the Corporate officer is not an equity owner or a shareholder in the Corporation.
Unless the corporate officers have also agreed to be personally liable on the debt (lenders often requre this as a condition to issuing credit to small corporations), or unless the corporation and its officers have not been careful to maintain the distinctions between corporate debts and assets and personal debts and assets, and so long as the officers have performed their duties in good faith, the officers would not normally be liable.
However, it is critical to carefully scrutinize the leases, credit card applications, etc. to see whether there is any potential claim that the individuals were also responsible. A careful review of the books and records and tax returns of the business should also be done to ensure that profits, distributions and loans from the management if any were handled properly.
