Q: Can a debt collector come after a beneficiary of a life insurance policy?
My father recently passed away and was a sole owner of a LLC. He was paying a supplier 400 USD a month to settle a debt. Can the supplier go after the benefits my mother is owed from his life insurance policy? She was not listed as an owner or investor in the LLC. Thanks for your help
A: No. A creditor of the LLC or of your father has no standing to go after proceeds of a life insurance policy. The creditor's remedy, if the creditor has one, is to file a claim against the LLC. If your father personally guaranteed the debt or was found personally liable to the creditor in an estate, the creditor may also pursue your father's estate or trust by filing a claim. For further information, get a consult with a probate attorney in your area.
Kenneth V Zichi and Nina Whitehurst agree with this answer
Justia Ask a Lawyer is a forum for consumers to get answers to basic legal questions. Any information sent through Justia Ask a Lawyer is not secure and is done so on a non-confidential basis only.
The use of this website to ask questions or receive answers does not create an attorney–client relationship between you and Justia, or between you and any attorney who receives your information or responds to your questions, nor is it intended to create such a relationship. Additionally, no responses on this forum constitute legal advice, which must be tailored to the specific circumstances of each case. You should not act upon information provided in Justia Ask a Lawyer without seeking professional counsel from an attorney admitted or authorized to practice in your jurisdiction. Justia assumes no responsibility to any person who relies on information contained on or received through this site and disclaims all liability in respect to such information.
Justia cannot guarantee that the information on this website (including any legal information provided by an attorney through this service) is accurate, complete, or up-to-date. While we intend to make every attempt to keep the information on this site current, the owners of and contributors to this site make no claims, promises or guarantees about the accuracy, completeness or adequacy of the information contained in or linked to from this site.
