Are you thinking of the LLC to hide your identity? I don't think that will work--the LLC is a legal structure that has your name linked to it in the state that is registered in.
It sure sounds like you think the LLC provides more protection against this particular problem than it actually does. Sadly, I don't think it does nearly enough to make your concerns go away. IANAL and AFAIU, the LLC will protect your personal money if you get sued if you are not found by the judge to be personally negligent, and if you are not found by the judge to be merely an alter ego of the LLC (and thus s/he would pierce the corporate veil, i.e., order your personal assets liable), and if you pay your lawyers up to $1 mil in legal fees to defend, etc.
It's really not as protective as any of us would hope.
I was under the impression that a judge could only pierce the corporate veil if I violate some sort of rule with regards to the LLC; i.e. withdraw / deposit company funds in my name or something like that.
Comments
Are you thinking of the LLC to hide your identity? I don't think that will work--the LLC is a legal structure that has your name linked to it in the state that is registered in.
It sure sounds like you think the LLC provides more protection against this particular problem than it actually does. Sadly, I don't think it does nearly enough to make your concerns go away. IANAL and AFAIU, the LLC will protect your personal money if you get sued if you are not found by the judge to be personally negligent, and if you are not found by the judge to be merely an alter ego of the LLC (and thus s/he would pierce the corporate veil, i.e., order your personal assets liable), and if you pay your lawyers up to $1 mil in legal fees to defend, etc.
It's really not as protective as any of us would hope.
I was under the impression that a judge could only pierce the corporate veil if I violate some sort of rule with regards to the LLC; i.e. withdraw / deposit company funds in my name or something like that.