Yes, that was part of the older case. We had briefly looked at it some time back. I guess I should have been more specific. The latest that I find from Jack Murray is on his website at:
and is entitled “Restriction on Using The LLC As An Asset Protection…” and is dated 2003. He references the Ashley case and gives some interesting things that you should possibly do and not do in using as single member LLC as an asset protection. Was just wondering if you had read this dissertation and if so what your thoughts were.
Just read an interesting dissertaion by Jack Murray, Chief Counsel, of First American Title on the piercing of single member LLC’s. It all started in your state of Colorado…any follow up or info…where do you think this might lead?
I like Jack Murray, he’s a bright guy and well-respected in the industry. I think you are referring to the Ashley Allbright bnkaruptcy case in federal district court in Colorado. It’s not about piercing the corporate veil, it’s about whether a sole member of a single member LLC can prevent creditors with a charging order from liquidating LLC assets. This was the first case on the issue, and the court said “yes” - that means a single member LLC, by itself, may not protect the member from judgments. A two or more member LLC can, which is why SMLLC’s are recommendation in CONJUNCTION with multi-member LLCs