Legal Question in Construction Law in Georgia

Motion for Default Judgement

My husband operated an LLC in 2004 and built a brick ledge on a home to support a 4 ft. brick wall according to the builder's specs. The builder built an entire brick facade on the concrete and as a result the wall and other parts of the house failed. The bldr lost a civil suit by the homeowner. The bldr's insurance came after 4 of his subs. We apparently did not respond fast enough and now they have issued a Motion for Default judgement against the LLC which has been out of operation for 2 years and has no assets. What kind of recourse do they have against this defunct LLC and what kind of legal problems could my husband face personally. He is no longer in business and is not working at all. The phrase blood from a turnip comes to mind, but I am not sure he is completely protected. Any opinion is appreciated.


Asked on 7/06/08, 3:07 pm

1 Answer from Attorneys

Glenn M. Lyon, Esq. MacGREGOR LYON, LLC, Business Attorneys

Re: Motion for Default Judgement

You should speak to an attorney ASAP to determine if you can open default and then file an answer and if you should. As long as the LLC actually exists, it can be sued and they can obtain a judgment, default or otherwise. Generally, members of an LLC are not responsible for the debts and obligations of the LLC. However, there are exceptions to this rule such as a personal guarantee or a piercing of the company veil. Further, your husband will probably be sent post-judgment discovery requests and scheduled for a deposition, which he will be required to answer and attend.

If you would like to discuss any issues further, please feel free to contact my office. My contact information is below. Thank you.

The foregoing is general information only, not specific legal advice. No attorney/client relation has been created or should be implied.

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Answered on 7/07/08, 9:23 am


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