MGMT 217 Chapter Notes - Chapter 13: Garnishment, Bankruptcy, Personal Property
Document Summary
Laws assisting creditors: default= when a debtor fails to pay according to the terms of the credit contract. If tanya refuses to pay kirk after the work is completed, a mechanic"s lien against the property can be created: artisan"s lien= a possessory lien for labor and materials to repair/improve. The store owner agreed to reset the diamonds into custom jewelry for. Kenzie comes back to pick it up but refuses to pay the ,000. The jeweler can assert an artisan"s lien on the jewelry in his possession until she pays. The president is a wealthy businessperson who owns 70% of the company. The bank is skeptical about the creditworthiness of the corporation and requires the president to sign an agreement making herself personally liable for payment if the corporation does not pay off the loan. As a guarantor of the loan, the president cannot be held liable until the corporation is in default.
