Q: can a lawsuit brought against one LLC be expanded to include several separately formed LLCs?
i own several different LLCs formed to keep properties separated and protected from frivulous lawsuit s.can a lawsuit brought against the property owned by one LLC be expanded to include claims other separately formed LLCs as well?
A: In general, no. The party suing would have to sue you personally, and survive dismissal based on the debt/claim not being your personal responsibility, and then attempt to "pierce the veil" of your separately owned LLC on the basis that the LLC is a sham and not legitimate, a pretty difficult thing to prove. Generally, corporate and LLC structures will not be pierced except in cases of fraud (such as, you transfer all your personal assets into the name of an LLC simply to put them beyond the reach of your creditors, but then use those assets solely for your personal benefit and not for any legitimate company business).
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