Originally Posted by
cloud_wall
I didn't argue the tax issues. Pass-through taxation is definitely the way to go and the LLC is a great form overall.
However, if your business doesn't carry insurance, your property is leveraged to the hilt, and your business has no assets, you might have more to worry about than being sued by some small fry. And if all those things describe you and your business, then you personally probably aren't collectible either.
In those rare situations where trying to pierce the LLC veil [[go after the individual) is worth it though, it has been done. It's particularly easy where it's a single-member LLC, as the first requirement is that the business form is a "mere instrumentality" of the member being sued. Check out Foodland Distributors v Al-Naimi.
Overall, the LLC is a superior form to the sole proprietorship or partnership. You are right, and kudos to those in Michigan who were ahead of the curve. But most of your creditors are probably [[and hopefully) not going to be tort litigants. It seems your post was just another example of how the GOP flails out blindly at trial lawyers whenever it seems like a remotely plausible argument. It really isn't here. The fact that you think carrying around default judgments against your company is a badge of honor and sign of success is pretty telling.
As for this candidate, his views are pretty intriguing. He could get a few crossover votes if Cherry is the inevitable democratic candidate. But in the crowded GOP field, it's hard to see him coming out ahead.