# YELLOW CAB declares bankruptcy in Chicago



## Arturo Diaz (Feb 10, 2015)

http://www.chicagotribune.com/news/...r-jury-awards-26m-verdict-20150318-story.html

is this good or bad for us rideshare drivers?


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## Simon (Jan 4, 2015)

The first of many to come.


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## krazydrive (Nov 18, 2014)

It sucks for yellow cab drivers, but good for us. I hate to see anyone lose there job but ride share is the future and taxis are obsolete.


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## Txchick (Nov 25, 2014)

krazydrive said:


> It sucks for yellow cab drivers, but good for us. I hate to see anyone lose there job but ride share is the future and taxis are obsolete.


That article has nothing to do with how Yellow cab has been running its business but a jury award on a accident. Nooo I am not a cab driver.


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## Txchick (Nov 25, 2014)

jason_womack said:


> This bankruptcy more had to do with a $26 million settlement that they haven't paid up on


correct!


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## Arturo Diaz (Feb 10, 2015)

your right the crooks at yellow cab prob already have this figured out and will spring up under a new name


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## observer (Dec 11, 2014)

Arturo Diaz said:


> http://www.chicagotribune.com/news/...r-jury-awards-26m-verdict-20150318-story.html
> 
> is this good or bad for us rideshare drivers?


Just think how bad it could be if you were an Uber driver and it was your accident. Where would an Uber driver get 26 Million?


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## observer (Dec 11, 2014)

It's a big eye opener for TNC drivers on what could go wrong, just driving your "friends" and supposedly "ridesharing". 

This was a taxi driver but it could just as easily have been a TNC driver.


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## Long time Nyc cab driver (Dec 12, 2014)

Arturo Diaz said:


> http://www.chicagotribune.com/news/...r-jury-awards-26m-verdict-20150318-story.html
> 
> is this good or bad for us rideshare drivers?


They didn't really "go out of business " they just declared bankruptcy to avoid paying the 26 million dollar judgment. 
Which is a ridiculous amount, that couple deserves to get ****ed.


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## Long time Nyc cab driver (Dec 12, 2014)

observer said:


> Just think how bad it could be if you were an Uber driver and it was your accident. Where would an Uber driver get 26 Million?


This couple isn't going to get 26 million.


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## Arturo Diaz (Feb 10, 2015)

Im planning on getting an LLC to avoid things like this, just worried about going through the re-approval process with uber
so holding off for a bit and also i hate paying the LLC $500-$600 FEE


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## observer (Dec 11, 2014)

Arturo Diaz said:


> Im planning on getting an LLC to avoid things like this, just worried about going through the re-approval process with uber
> so holding off for a bit and also i hate paying the LLC $500-$600 FEE


LLC won't cover you as a driver.


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## chi1cabby (May 28, 2014)

Long time Nyc cab driver said:


> This couple isn't going to get 26 million.


Yup sure looks like the reorganization bankruptcy was planned in anticipation of the jury verdict.


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## observer (Dec 11, 2014)

observer said:


> LLC won't cover you as a driver.


Look through the forum there's a couple threads on it


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## scrurbscrud (Sep 11, 2014)

observer said:


> Just think how bad it could be if you were an Uber driver and it was your accident. Where would an Uber driver get 26 Million?


Uh, from Uber? heh heh


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## Long time Nyc cab driver (Dec 12, 2014)

scrurbscrud said:


> Uh, from Uber? heh heh


Uber would just say, we don't know who this guy is, safety is our main concern. 
Uber on !


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## Txchick (Nov 25, 2014)

Probably not their claim is a unsecured claim in bankruptcy, not secured claim.


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## observer (Dec 11, 2014)

scrurbscrud said:


> Uh, from Uber? heh heh


Well, maybe, possibly, if the Sun and the Moon and Mars and Saturn and Jupiter all lined up. You MIGHT get the first million from Uber.


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## Tx rides (Sep 15, 2014)

krazydrive said:


> It sucks for yellow cab drivers, but good for us. I hate to see anyone lose there job but ride share is the future and taxis are obsolete.


No, taxis are not obsolete. They are still out in full force all over the world. Some good, some bad, some evil. Just like TNC or black car operators . Good will rise, bad will get swept out, etc etc etc


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## Brooklyn (Jul 29, 2014)

So just in case no one knows... one of the guys who own this company(Michael Levine) just so happens to be pals with Evgeny Freidman... (the guy who is in massive debt)... the owner of this cab company also owns a ton of medallions in NYC... atleast over 200+ at one point.. probably more now.. maybe less... @Long time Nyc cab driver @Hackenstein tagging you guys just to give you a heads up on some more taxi stuff lol...


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## ubershiza (Jan 19, 2015)

Same thing is going to happen when the family of Bob Simon seeks to sue the black car company and driver that was responsible. Bet its gonna be bigger than 25 million.


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## Long time Nyc cab driver (Dec 12, 2014)

ubershiza said:


> Same thing is going to happen when the family of Bob Simon seeks to sue the black car company and driver that was responsible. Bet its gonna be bigger than 25 million.


His family will wind up with whatever the maximum the insurance pays, and no way is it 25 million. Come on you know better than that. Bob Simon probably had a big fat juicy life insurance policy.


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## ubershiza (Jan 19, 2015)

Long time Nyc cab driver said:


> His family will wind up with whatever the maximum the insurance pays, and no way is it 25 million. Come on you know better than that. Bob Simon probably had a big fat juicy life insurance policy.


Your probably right,but still well have to see how this one pans out.


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## Long time Nyc cab driver (Dec 12, 2014)

DenverDiane said:


> Yellow Cab franchises have been, in many cities, owned by organized crime families.


Not saying you're wrong, but where do you get your information?
I could say Uber has ties to the Chinese mafia, but could I prove it.


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## observer (Dec 11, 2014)

Long time Nyc cab driver said:


> Not saying you're wrong, but where do you get your information?
> I could say Uber has ties to the Chinese mafia, but could I prove it.


I think we could make a case Uber has ties to the Wall Street mafia....


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## Rubyson&sme (Dec 1, 2014)

Was this gentleman wearing a seatbelt? I didn't read in the article that he was. I know that Bob Simon wasn't wearing one, and apparently there is no law in NYC requiring that pax have to wear one. Which makes me wonder. if they can't prove negligence on the part of the livery driver, how would they get damages in the Bob Simon accident?


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## Brooklyn (Jul 29, 2014)

Long time Nyc cab driver said:


> Not saying you're wrong, but where do you get your information?
> I could say Uber has ties to the Chinese mafia, but could I prove it.


Dude I just bursted out laughing.


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## Uberamstel (Jul 30, 2014)

'A lawyer for Yellow Cab said its taxis would continue operating as usual while it seeks protection from creditors.'

http://www.chicagotribune.com/news/...r-jury-awards-26m-verdict-20150318-story.html

I <3 lawyers


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## Brooklyn (Jul 29, 2014)

Uberamstel said:


> 'A lawyer for Yellow Cab said its taxis would continue operating as usual while it seeks protection from creditors.'
> 
> http://www.chicagotribune.com/news/...r-jury-awards-26m-verdict-20150318-story.html
> 
> I <3 lawyers


One of the owners of yellow cab(Michael Levine) is a lawyer lol


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## Cooluberdriver (Nov 29, 2014)

observer said:


> LLC won't cover you as a driver.


Wrong. It will if he forms a company and registers for incorporation.


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## observer (Dec 11, 2014)

Cooluberdriver said:


> Wrong. It will if he forms a company and registers for incorporation.


Nope, if he is driving he is NOT covered. It doesn't cover owner operators. 
There's a couple threads on this here. Let me find them and I'll post it here.


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## puber (Aug 31, 2014)

There is bid money in taxi.
200 in medallions and he needs to fite that judgement?
What about the driver, what did he get after a long day of work?
Headache?


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## observer (Dec 11, 2014)

Cooluberdriver said:


> Wrong. It will if he forms a company and registers for incorporation.


Here's one,

https://uberpeople.net/threads/tax-question.7075/#post-83869

There's a couple more somewhere, I'll try and find them when I get a minute.

The best thing to do is ask a business attorney. Don't just go to NOLO or similar companies. Spend a little money here or prepare to spend a LOT later.


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## Cooluberdriver (Nov 29, 2014)

observer said:


> Nope, if he is driving he is NOT covered. It doesn't cover owner operators.
> There's a couple threads on this here. Let me find them and I'll post it here.


This post is bull. I set an S corp for free. You just go to IRS website and go to search and type in S corp and download the form, fill it out and mail it in and boom the IRS grants you S corp status. No lawyer needed. I hate the internet it's full of junk and lies because people who don't know anything post anything.


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## observer (Dec 11, 2014)

Cooluberdriver said:


> This post is bull. I set an S corp for free. You just go to IRS website and go to search and type in S corp and download the form, fill it out and mail it in and boom the IRS grants you S corp status. No lawyer needed. I hate the internet it's full of junk and lies because people who don't know anything post anything.


Ummm didn't you just say the internet is bull? Then try and give advice?

As I said the best thing to do is ASK a business lawyer.

Spend a little money protecting yourself. Don't take my word for it.

Internet advice sucks. Especially from people that think they are lawyers.


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## UberTaxPro (Oct 3, 2014)

observer said:


> Nope, if he is driving he is NOT covered. It doesn't cover owner operators.
> There's a couple threads on this here. Let me find them and I'll post it here.


http://en.wikipedia.org/wiki/Limited_liability_company
https://www.sba.gov/content/limited-liability-company-llc
http://www.irs.gov/Businesses/Small-Businesses-&-Self-Employed/Limited-Liability-Company-LLC


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## Cooluberdriver (Nov 29, 2014)

I have a private lawyer on retainer and a CPA. That's how I know you not correct.


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## Cooluberdriver (Nov 29, 2014)

UberTaxPro said:


> http://en.wikipedia.org/wiki/Limited_liability_company


You can be a LLC and a S corp all in one...


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## observer (Dec 11, 2014)

Cooluberdriver said:


> I have a private lawyer on retainer and a CPA. That's how I know you not correct.


Then you and your lawyer should really carefully read the link you posted.

And this one,

http://mccabetrotter.com/llc-members-are-not-protected-from-all-liability/


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## observer (Dec 11, 2014)

Here is another site that specifically mentions an auto accident,

http://www.llclawmonitor.com/2010/1...il-vs-direct-member-liability-in-connecticut/


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## UberTaxPro (Oct 3, 2014)

Cooluberdriver said:


> This post is bull. I set an S corp for free. You just go to IRS website and go to search and type in S corp and download the form, fill it out and mail it in and boom the IRS grants you S corp status. No lawyer needed. I hate the internet it's full of junk and lies because people who don't know anything post anything.


Corporations are granted and regulated by the states not the federal government. S corp is an election that a corporation makes with the IRS to be taxed as a "pass through entity" meaning the money goes right to the owners personal taxes. Regular C-corporations can be taxed twice, once on the corporate income and again when the corporation pays out salary to the owner. That's why the S corp election is so popular. The form I think your talking about is 2553 and is used when a corporation already established by a state wishes to be taxed as an S corp. Here is a link to the 2553 http://www.irs.gov/Businesses/Small-Businesses-&-Self-Employed/S-Corporations



Cooluberdriver said:


> You can be a LLC and a S corp all in one...



no


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## UberTaxPro (Oct 3, 2014)

llc and s corp can both be "pass thru entities" however


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## UberTaxPro (Oct 3, 2014)

observer said:


> Here is another site that specifically mentions an auto accident,
> 
> http://www.llclawmonitor.com/2010/1...il-vs-direct-member-liability-in-connecticut/


This happened because the LLC wasn't operating like a proper business. You need to have a separate business account, payments made out to the LLC's name etc... Piercing the veil can happen to regular corporations also.


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## observer (Dec 11, 2014)

And this one,

http://www.bizfilings.com/toolkit/s...-of-tort-exceptions-to-limited-liability.aspx


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## observer (Dec 11, 2014)

UberTaxPro said:


> This happened because the LLC wasn't operating like a proper business. You need to have a separate business account, payments made out to the LLC's name etc... Piercing the veil can happen to regular corporations also.


No, you need to go back and reread it carefully. They had no need to pierce the corporate veil. They sued both the LLC and the guy personally.


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## observer (Dec 11, 2014)

UberTaxPro said:


> This happened because the LLC wasn't operating like a proper business. You need to have a separate business account, payments made out to the LLC's name etc... Piercing the veil can happen to regular corporations also.


Read the section on Tort Claims.


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## 20yearsdriving (Dec 14, 2014)

Tx rides said:


> No, taxis are not obsolete. They are still out in full force all over the world. Some good, some bad, some evil. Just like TNC or black car operators . Good will rise, bad will get swept out, etc etc etc


Yes TNC 's are weeding out bad drivers 
That needed to go long ago
The good drivers left are going to weed the bad TNC drivers 
Then it's a tank of piranhas left


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## Tx rides (Sep 15, 2014)

DenverDiane said:


> If Yellow spent half as much time and money in making their driver's better and providing a usable service as they do in anti-PR efforts against Uber they'd come out a winner. You can bet your bottom dollar that they have a significant shill presence on this board and others.
> 
> But they're too criminally (lol) stupid and greedy to improve service.


I think the same can be said of Uber.
Nonetheless, I know some taxi leaders, and know they are scraping the bottom of the labor barrel. All the training in the world cannot fix that, it is, in part, a result of capped fares and mandatory service in less than desirable areas,in a country where unemployment is still fairly low.


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## 20yearsdriving (Dec 14, 2014)

Tx rides said:


> I think the same can be said of Uber.
> Nonetheless, I know some taxi leaders, and know they are scraping the bottom of the labor barrel. All the training in the world cannot fix that, it is, in part, a result of capped fares and mandatory service in less than desirable areas,in a country where unemployment is still fairly low.


It was always that way , transients , ex-con , weirdos , now there is more normal people diving


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## Tx rides (Sep 15, 2014)

20yearsdriving said:


> It was always that way , transients , ex-con , weirdos , now there is more normal people diving


But you can't hold on to normal with low fares and lousy passengers, regardless of the dispatch methods. That is something these app wizards don't seem to grasp :-(


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## 20yearsdriving (Dec 14, 2014)

Tx rides said:


> But you can't hold on to normal with low fares and lousy passengers, regardless of the dispatch methods. That is something these app wizards don't seem to grasp :-(


That is right UBER is stress testing its X drivers : eye of the tiger soundtrack


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## UberTaxPro (Oct 3, 2014)

observer said:


> No, you need to go back and reread it carefully. They had no need to pierce the corporate veil. They sued both the LLC and the guy personally.





observer said:


> No, you need to go back and reread it carefully. They had no need to pierce the corporate veil. They sued both the LLC and the guy personally.


They always sue everbody! I owned a c-corp taxi company for 15 years and was sued after 99% of all accidents that were our fault. They ALWAYS sued my corporation, my insurance company, my driver, and me. The question is whether they will win or not. If your company is set up correctly only the insurance company will be libel up to the max of your policy. I will go back and read it again. thanks for the article


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## 20yearsdriving (Dec 14, 2014)

UberTaxPro said:


> They always sue everbody! I owned a c-corp taxi company for 15 years and was sued after 99% of all accidents that were our fault. They ALWAYS sued my corporation, my insurance company, my driver, and me. The question is whether they will win or not. If your company is set up correctly only the insurance company will be libel up to the max of your policy. I will go back and read it again. thanks for the article


That is why I have not hired a driver , my whole life would be in his hands 
You just confirmed my desition


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## scrurbscrud (Sep 11, 2014)

UberTaxPro said:


> They always sue everbody! I owned a c-corp taxi company for 15 years and was sued after 99% of all accidents that were our fault. They ALWAYS sued my corporation, my insurance company, my driver, and me. The question is whether they will win or not. If your company is set up correctly only the insurance company will be libel up to the max of your policy. I will go back and read it again. thanks for the article


It's pretty common for lawsuits of any significant dollar amount to be attacked at every legal angle possible. The legal strategy is largely to monetarily run the table on your opponent. That is why a person needs big insurance on the other side and a sound setup for their business.

Even with a sound setup if you can't afford a defense and there are no insurance attorneys on your side, you're done no matter how you approach it or how tight your veil is.


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## observer (Dec 11, 2014)

UberTaxPro said:


> They always sue everbody! I owned a c-corp taxi company for 15 years and was sued after 99% of all accidents that were our fault. They ALWAYS sued my corporation, my insurance company, my driver, and me. The question is whether they will win or not. If your company is set up correctly only the insurance company will be libel up to the max of your policy. I will go back and read it again. thanks for the article


Yupp they sue Company X and John Does 1-100.

What worries me is that some people think having a corp covers them, if they have an accident they just shut down the corp.

What covers you, and you correctly mention, is business insurance. No insurance, no coverage.

Most people don't understand that until it's too late.


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## 20yearsdriving (Dec 14, 2014)

observer said:


> Yupp they sue Company X and John Does 1-100.
> 
> What worries me is that some people think having a corp covers them, if they have an accident they just shut down the corp.
> 
> ...


Corp separates liability from entity & officer-'s / shareholder-'s
As long as corpe is in full compliance with all applicable law's
Let's sat you have a million umbrella( assuming that is the laws minimum requirement ) they can sue you up to that much , they can not sue officers or shareholders this protects your assets & future personal income
Now if there were laws broken by copr example no insurance or under insurance
Yes you are liable


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## 20yearsdriving (Dec 14, 2014)

UberTaxPro said:


> Corporations are granted and regulated by the states not the federal government. S corp is an election that a corporation makes with the IRS to be taxed as a "pass through entity" meaning the money goes right to the owners personal taxes. Regular C-corporations can be taxed twice, once on the corporate income and again when the corporation pays out salary to the owner. That's why the S corp election is so popular. The form I think your talking about is 2553 and is used when a corporation already established by a state wishes to be taxed as an S corp. Here is a link to the 2553 http://www.irs.gov/Businesses/Small-Businesses-&-Self-Employed/S-Corporations
> no





UberTaxPro said:


> Corporations are granted and regulated by the states not the federal government. S corp is an election that a corporation makes with the IRS to be taxed as a "pass through entity" meaning the money goes right to the owners personal taxes. Regular C-corporations can be taxed twice, once on the corporate income and again when the corporation pays out salary to the owner. That's why the S corp election is so popular. The form I think your talking about is 2553 and is used when a corporation already established by a state wishes to be taxed as an S corp. Here is a link to the 2553 http://www.irs.gov/Businesses/Small-Businesses-&-Self-Employed/S-Corporations
> no


In California S corps are granted thru the state , most small bussiness under S corp do it for personal asset protection , second for employer status


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## 20yearsdriving (Dec 14, 2014)

I held a S copr 4 years my CPA did it this way: pay your self as much as Copr can afford ( weird you are the employer & employee ) me boss pays as much as corp can afford to me employee (1099), me employee pay taxes on this income as independent contractor lessening the payroll B.S.
Copr close to breaks even every year ( fully legit ) pays almost cero in taxes
But they get you with the 800.00 mandatory yearly payment
Other plus you can wright off yes you can write off shhhhhhh......


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## UberTaxPro (Oct 3, 2014)

20yearsdriving said:


> Corp separates liability from entity & officer-'s / shareholder-'s
> As long as corpe is in full compliance with all applicable law's
> Let's sat you have a million umbrella( assuming that is the laws minimum requirement ) they can sue you up to that much , they can not sue officers or shareholders this protects your assets & future personal income
> Now if there were laws broken by copr example no insurance or under insurance
> Yes you are liable


your right except that shareholders are not liable unless they are also a corp officer or employee. If you buy stock in Apple your a shareholder, but you won't be sued when someones apple watch explodes and burns their face.


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## observer (Dec 11, 2014)

20yearsdriving said:


> Corp separates liability from entity & officer-'s / shareholder-'s
> As long as corpe is in full compliance with all applicable law's
> Let's sat you have a million umbrella( assuming that is the laws minimum requirement ) they can sue you up to that much , they can not sue officers or shareholders this protects your assets & future personal income
> Now if there were laws broken by copr example no insurance or under insurance
> Yes you are liable


If the officer is also the driver in an accident, the officer can also be personally liable.

A lot of people are under the assumption that incorporating will protect you in an accident. You have an accident, you close up corporation, end of liability.

This is not true.

A corporation does not take the place of a good business insurance policy.


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## UberTaxPro (Oct 3, 2014)

20yearsdriving said:


> I held a S copr 4 years my CPA did it this way: pay your self as much as Copr can afford ( weird you are the employer & employee ) me boss pays as much as corp can afford to me employee (1099), me employee pay taxes on this income as independent contractor lessening the payroll B.S.
> Copr close to breaks even every year ( fully legit ) pays almost cero in taxes
> But they get you with the 800.00 mandatory yearly payment
> Other plus you can wright off yes you can write off shhhhhhh......


yes, small corporations should pay out all profit in salary to avoid double taxation. The corporation can break even or have a small loss or gain every year as long as salaries are being paid.


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## UberTaxPro (Oct 3, 2014)

observer said:


> If the officer is also the driver in an accident, the officer can also be personally liable.
> 
> A lot of people are under the assumption that incorporating will protect you in an accident. You have an accident, you close up corporation, end of liability.
> 
> ...


yes! a corporation is an entity just like a person. Just like a person has to have proper insurance and obey laws, so does the corporation. A corporation is an entity just like a person except that it can live forever unlike a person.


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## 20yearsdriving (Dec 14, 2014)

observer said:


> If the officer is also the driver in an accident, the officer can also be personally liable.
> 
> A lot of people are under the assumption that incorporating will protect you in an accident. You have an accident, you close up corporation, end of liability.
> 
> ...


True , I forgot to mention they can also go after corps assets if insurance is maxed out in a claim .
You are correct they can go after you if you also drive


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## 20yearsdriving (Dec 14, 2014)

But I think in my case I felt I had my own interest at heart
The corp would cover me if a driver other than me screwed up ( never got to have second driver BTW)
we structured this With imput from a family friend lawyer
All of our assets were under wife name ( not legally married at that time )
I technically had no assets
Any equipment had a lien holder my wife
The corp had 1 share you guessed it my wife


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## 20yearsdriving (Dec 14, 2014)

UberTaxPro said:


> yes! a corporation is an entity just like a person. Just like a person has to have proper insurance and obey laws, so does the corporation. A corporation is an entity just like a person except that it can live forever unlike a person.


Real people can pull the string of the entity


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## 20yearsdriving (Dec 14, 2014)

Getting to use that corporate seal priceless


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## UberTaxPro (Oct 3, 2014)

20yearsdriving said:


> But I think in my case I felt I had my own interest at heart
> The corp would cover me if a driver other than me screwed up ( never got to have second driver BTW)
> we structured this With imput from a family friend lawyer
> All of our assets were under wife name ( not legally married at that time )
> ...


Sounds like a good set up as long as your not legally married wife doesn't get mad at you and run away with everything that technically belongs to her!


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## 20yearsdriving (Dec 14, 2014)

UberTaxPro said:


> Sounds like a good set up as long as your not legally married wife doesn't get mad at you and run away with everything that technically belongs to her!


LOL she may read this , my statement is chose the lesser evil LOL
Ah if officer is driver too he is in great shape because insurance payed the max
His standing is he did his do diligence by driving for a fully insured Corp
"I'm broke you can sue me or you can walk away with your sanity I got nothing else to lose"


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## UberTaxPro (Oct 3, 2014)

20yearsdriving said:


> LOL she may read this , my statement is chose the lesser evil LOL
> Ah if officer is driver too he is in great shape because insurance payed the max
> His standing is he did his do diligence by driving for a fully insured Corp
> "I'm broke you can sue me or you can walk away with your sanity I got nothing else to lose"


just make sure you keep that corporate seal with you at all times!


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## 20yearsdriving (Dec 14, 2014)

UberTaxPro said:


> just make sure you keep that corporate seal with you at all times!


Disolved in 2011 , its a key chain now


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## Hackenstein (Dec 16, 2014)

krazydrive said:


> It sucks for yellow cab drivers, but good for us. I hate to see anyone lose there job but ride share is the future and taxis are obsolete.


You are taxis, just barely regulated ones with improper insurance.

If legitimate cabs disappear you wind up with 1000 oversaturated markets full of uber gypsy cabs using personal insurance, no proper yearly car inspections, drug testing, or background checks. High driver turnover because they'll continue to lower their rates and raise their own cut. Cars and drivers will eventually be worse than any legit cab ever was. Brilliant.


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## observer (Dec 11, 2014)

20yearsdriving said:


> LOL she may read this , my statement is chose the lesser evil LOL
> Ah if officer is driver too he is in great shape because insurance payed the max
> His standing is he did his do diligence by driving for a fully insured Corp
> "I'm broke you can sue me or you can walk away with your sanity I got nothing else to lose"


Key words are FULLY INSURED CORPORATION. A corporation by itself without SUFFICIENT insurance is not the coverage most assume they recieve by incorporating.

Corporations are not an insurance policy.


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## observer (Dec 11, 2014)

Unfortunately, accidents will happen, they are a fact of life.

We all complain about insurance until we need it.

Ten years ago one of our towing competitors had a really bad accident. 

Pay was low, gas prices were high, insurance and other costs were expensive. He payed his drivers as if they were independent contractors to avoid paying workers comp, social security, unemployment insurance, etc.. Trying to maximize his income he didn't maintain his truck, bad brakes, bald tires had his driver work 15-16 hours a day for 3 weeks straight. *sound familiar?*

The driver fell asleep on the freeway. Rearended a family on a Sunday outing.

Cost of accident? 

Maxed out 750K dllr insurance policy.
I don't know how much the company he subcontracted for paid, but it was substantial.

A little girl had to have her leg amputated in order to be removed from the car.

The same little girl lost her mom in that accident.


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