Whats the point of getting your LLc if you are lease on with a company?? Jus asking

Yeah I have several times and it was brought up when they saw how I was being compensated and further being a partner in another business we were audited and the dividends was disallowed as cap gains. I won't get into the details but it is one thing that all depends on the auditor, not the letter of the law. Most of the time people take a low wage and the rest in dividends which triggers the audit.

 

Again for those who don't get the personal asset protection, it doesn't happen in an llc as an owner and operator.

Unless someone can provide some proof where a lawyer would not name officers of the llc as defendants in addition to the driver in the case of an owner and operator, don't believe the sale pitch.

 

If you are incorporated and you are the only one in the Corp. And your driving the truck that kills are injuries someone all can be sued you the Corp.or LLC and company your leased to. anybody tells you different is lying there is nothing that can protect your assets if you are the one that caused the crash

 

Your listening to a sales pitch no one selling you an LLC will tell you if your the only one in the LLC you have to be the one driving in a crash ask them straight answer can you personally be sued no one will tell you you can't be sued. It's the way they fraise the sells pitch that gets you they say an LLC can not will protect assets it depends on different factors but if it's just you and you cause injury there is no protection that could keep you from being sued

 

There are other reasons where a company could be involved in a lawsuit than while driving. Anyone can be sued for most any reason. It is up to the plaintiff to make a case for liability. Granted, if you are a driver who is involved in an accident with fatalities, a civil lawsuit could be the least of your problems, if it is found that you, as the driver, are at fault. And just because you are named in a lawsuit doesn't necessarily mean that you will be found personally responsible. There are a number of reasons why having your business in a corporate structure makes sense, other than the liability issue.

 

So, what's your solution to protecting yourself as o/o?

 

The only way I know if is to put your stuff in someone else's name or some sort of trust. But then I am not a lawyer either.

 

You will have some protection using a corporation. It will depend on the circumstances and severity of the claim. If you are at fault and death occurs in an accident, it would be reasonable to expect some fallout from the lawyers. In most cases, the insurance company will deal with the situation and they will primarily look at the corporation. Nothing is 100% foolproof. When death is involved, you could be looking at criminal charges as well as civil penalties. But, how many times does that happen? Most carriers will carry a minimum of $1MM liability. That is usually sufficient for most claims. Some carry more. As I recall, less than 1% of all insurance claims against truckers will exceed $750,000, the minimum we are required to carry. That is why we have insurance. I would not worry too much about losing everything you own due to litigation in this industry. You can be sued for anything at any time, whether it is trucking or someone falling in your back yard. We live in a society where too many people want something for nothing. Unless you are extremely careless you are not likely to be named in a lawsuit. Most insurance claims are settled out of court. Lawyers go for the deep pockets and that is usually the insurance company.

 

Your exactly right lawyers want money who holds the insurance is who they want they don't want your 1998 Silverado pickup I was talking to op who posted about personal assets being protected in a LLC and there not if you are the only one in the LLC

 

If you are one truck owner operater leased or operating your own athority there is really no reason to us an LLC most cases it cost more money to do with filling two tax return with no benefit to you.they make living selling item that's all they want to do.talk to a attorney you used ask him.sole pro.is all you need if things change and you start hiring employees that's differant