Q: The business is 50/50. He’s getting a truck for personal/business he will be paying for out of his own pocket
He’s wanting to retain ownership but have it under his business name. What should he do? Thanks.
A: The Courts generally recognize how things are legally titled. You are generally asking for trouble if you want to legally place ownership under one party's name but have a side agreement that you don't really recognize how the property is legally titled. Vehicles come with liability. If a vehicle owned by the business is in an accident, the injured party can come after the owner to recoup. If the vehicle is titled in the business's name, this could lead to liability for the business, even if the accident occurred during personal use. You may also cause tax complications if you have assets that are really personal assets that are titled under the business.
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