Lisa and the Law

Members and Managers of LLCs are protected from business debt by law

Posted on June 15, 2025

Limited Liability Company (“LLC”) owners (members) and managers are protected by black and white law from LLC debt (A.R.S. § 29-3304(A)). This means that if the LLC does not pay a business debt. Creditors may not ask the members or managers to pay the LLC debt personally. If a member or manager has signed a written guarantee of the LLC debt, he or she would have to pay it personally.

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The information provided in this website is meant only as a general description of the current laws as of the date of the writing. It is not meant to be an exhaustive discussion of all the nuances of the law and is intended to be only an overview. Many issues may appear simpler than they are, and an individual should always contact an attorney to obtain a complete, accurate interpretation of the law given the individual's particular circumstances. Thompson Law Group, P.C. makes no representations as to how the law would affect a particular situation and intends only to illustrate areas of concern and give general information.

Published: June 15, 2025 , Last Updated: September 30, 2025