Tweet
Hi I’ve been searching the forums this morning but I’ve found lots of helpful stuff but I was wondering if someone could advise on the following situation.
My father in law died last week. He was a sole trader operating as a franchisee in the sign business. He employed my wife as an employee however she has full signing authority on the bank account and is also named alongside him in the franchise agreement. There is no will.
The business was not in good shape and although he left substantial money in a house and bank account these were joint with his wife so I believe these are not part of the estate. Therefore his actual estate will not be able to cover the bank overdraft and other debts at time of death (around 20k debt and likely a 8-10k shortfall).
My wife does not want to continue the business but is worried sick that the franchisor can hold her liability for debt owed to them and perhaps all of the business debt. Is this the case or does her being an employee prevent this from happening?
My father in law died last week. He was a sole trader operating as a franchisee in the sign business. He employed my wife as an employee however she has full signing authority on the bank account and is also named alongside him in the franchise agreement. There is no will.
The business was not in good shape and although he left substantial money in a house and bank account these were joint with his wife so I believe these are not part of the estate. Therefore his actual estate will not be able to cover the bank overdraft and other debts at time of death (around 20k debt and likely a 8-10k shortfall).
My wife does not want to continue the business but is worried sick that the franchisor can hold her liability for debt owed to them and perhaps all of the business debt. Is this the case or does her being an employee prevent this from happening?
Comment