i have a personal judgement, i am selling a property under an llc, will i be required to pay the judgement before i can close?

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i have a personal judgement, i am selling a property under an llc, will i be required to pay the judgement before i can close?

i have a personal judgement, i am selling a property under an llc, will i be
required to pay the judgement before i can close?

Asked on February 11, 2017 under Real Estate Law, New Jersey

Answers:

SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 4 years ago | Contributor

If the judgment is against *you* personally, not the LLC, and the property is owned by the LLC, then no, you should not have to pay the judgment first: the LLC is a separate legal person from you, and so a judgment against you does not affect the LLC's sale of its property.
Of course, once you do sell, they can try to levy or execute on any money transferred, distributed, or paid to you personally (e.g. by the LLC, if you take money or profits out).


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