S Haas Law

FAQs Video

What is an “alter ego” as it relates to collections

Q.What is an “alter ego” as it relates to collections

A.

An alter ego is a shell or a sham set up for an improper purpose to avoid a creditor or creditors. Basically, from a collections standpoint, the attorney will want to see if the debtor has moved funds or assets over to the sham entity as a way to avoid creditors.