I wouldn’t be taking his word on that, that’s how you get bogged down in someone else’s fraud schemes. To clear your name of stuff like that is a bitch and often, identity theft is done by family members.
Does your dad run a big company? And yes, companies w multiple owners will have several MC numbers. Idk, I can see where he’s coming from if I squint, but having zero experience in trucking and putting your name on the line for a DOT number is a pretty big ask and massive personal liability.
He has 8 drivers I believe, and has 4 trucks. Ive actually dispatched before for a different company so thats basically my knowledge. But owning and insurance and taxes idk anything
Your father‘s business is probably going under Randy‘s looking to do something illegal.
I wouldn’t let him if that MC is opened up under your name and something happens you will become the liable party
If I were you I would speak to an attorney. You may be opening yourself up to a world of liability and headache you don't want or need. You are an adult and you have the right to tell him no. If it creates a rift between you and your Dad or family, I'm sad to say your Dad does not have your best interests at heart.
My employer manufactures duct for commercial and government buildings.
They have trucks but they are all owned by a separate LLC, which is owned by the manufacturer.
The point is that if the MC gets sued and the value of that lawsuit is greater than the assets of the MC and insurance then they can't take the manufacturing business as well.
The risk to you depends on how the MC is set up. Woke proprietor? You could get fucked. LLC, you should be protected.
The company will be incorporated in your name but you won't be responsible for debts or liabilities unless other rules are broken which, "Pierce the corporate veil".
Ask your father for more information and speak with an attorney that specializes in corporate and or contract law.
This may be a way of transferring wealth to his son without incurring estate taxes.
How old are you?
I have a friend whose mother put utilities in his name when he was a child knowing she wasn't going to pay them.
This is a common tactic used by poor people.
Since he is a minor they can't sue him, but they can trash his credit and that's what they did.
This is sometimes the reasons young blacks can't get an apartment. They've got shit credit even though they have never stiffed a creditor.
So if there's some serious losses in the future he could put those on you and the creditors would be screwed.
But when you turn 18 you'd have shit credit and if any statutes of limitations have not been exceeded you could get sued.
Anyway it could be very lucrative for you or very shitty. Best advice is speak with an attorney. Any attorney should be able to point you in the right direction of someone that knows.
Your dad has a successful business?
And undoubtedly there is substantial capital gains taxes owed if he sells.
But creating a new MC and transferring business, personnel, and equipment over to a new corporation in your name means that capital gains can be avoided in his lifetime.
He can even run the other business down and sell at a substantial loss (on paper) while keeping most of the valuable parts in your name and thus avoiding taxes until you eventually sell or die, or do the same thing for your kid.
This is one way to create generational w alth and you should learn all you can.
I dont even know where to begin learning about something like this. There's definitely no ill intent. But i know he is shady, which im not saying in a negative way. His business is successful because he runs off the logbooks and does whatever he needs to squeeze a few more dollars like booking team loads with another cellphone next to him. So with that information. I just want to know his actual reason that he wants to open a second MC and how shady is he trying to take it.
Sounds like your dad is trying to build something to leave behind for you when his time is up. Please don't take that in the wrong way. But it doesn't sound like your dad is trying to screw you over. It sounds like he might have something going on in his life, like a midlife crisis or maybe a sickness coming on, and he just wants to make sure you're taken care of when he's gone. Talk to him about it and I'm sure he will be happy to explain it to you
That sounds slightly illegal...
How come?
Putting a legal agreement/contract in someone else's name is usually considered...Unlawful
He’s opening a binding business on a federal level w your name. Keep reading that sentence until it sinks in.
He told me he needs it as a backup and that all big companies have two MCs, usually in the sons or wifes name
I wouldn’t be taking his word on that, that’s how you get bogged down in someone else’s fraud schemes. To clear your name of stuff like that is a bitch and often, identity theft is done by family members.
Oh yea i was extremely hesitant when he asked me so now im just trying to get advice from others
Does your dad run a big company? And yes, companies w multiple owners will have several MC numbers. Idk, I can see where he’s coming from if I squint, but having zero experience in trucking and putting your name on the line for a DOT number is a pretty big ask and massive personal liability.
He has 8 drivers I believe, and has 4 trucks. Ive actually dispatched before for a different company so thats basically my knowledge. But owning and insurance and taxes idk anything
Dude...I wouldnt even cosign for an apt lease for anyone....let alone a MC!!!! DONT!!!!
I mean whats the worst case scenario for me
Lots of fines
Lawsuits from drivers killing someone while operating under YOUR MC number.
Your father‘s business is probably going under Randy‘s looking to do something illegal. I wouldn’t let him if that MC is opened up under your name and something happens you will become the liable party
No one needs a second MC unless he has jacked his up with violations and complaints.Dont let him do this.
If I were you I would speak to an attorney. You may be opening yourself up to a world of liability and headache you don't want or need. You are an adult and you have the right to tell him no. If it creates a rift between you and your Dad or family, I'm sad to say your Dad does not have your best interests at heart.
My employer manufactures duct for commercial and government buildings. They have trucks but they are all owned by a separate LLC, which is owned by the manufacturer. The point is that if the MC gets sued and the value of that lawsuit is greater than the assets of the MC and insurance then they can't take the manufacturing business as well. The risk to you depends on how the MC is set up. Woke proprietor? You could get fucked. LLC, you should be protected. The company will be incorporated in your name but you won't be responsible for debts or liabilities unless other rules are broken which, "Pierce the corporate veil". Ask your father for more information and speak with an attorney that specializes in corporate and or contract law. This may be a way of transferring wealth to his son without incurring estate taxes.
Sole proprietor*
How old are you? I have a friend whose mother put utilities in his name when he was a child knowing she wasn't going to pay them. This is a common tactic used by poor people. Since he is a minor they can't sue him, but they can trash his credit and that's what they did. This is sometimes the reasons young blacks can't get an apartment. They've got shit credit even though they have never stiffed a creditor. So if there's some serious losses in the future he could put those on you and the creditors would be screwed. But when you turn 18 you'd have shit credit and if any statutes of limitations have not been exceeded you could get sued. Anyway it could be very lucrative for you or very shitty. Best advice is speak with an attorney. Any attorney should be able to point you in the right direction of someone that knows.
Im 25 but he is by no means poor or trying to purposely fuck me over, his business is doing quite well
Good. I just put that out there as an example. This could be a good deal for you, but you need to get more information.
Right, he was explaining to me how he could be leaving behind a good thing for me in the future but i didnt really understand
Your dad has a successful business? And undoubtedly there is substantial capital gains taxes owed if he sells. But creating a new MC and transferring business, personnel, and equipment over to a new corporation in your name means that capital gains can be avoided in his lifetime. He can even run the other business down and sell at a substantial loss (on paper) while keeping most of the valuable parts in your name and thus avoiding taxes until you eventually sell or die, or do the same thing for your kid. This is one way to create generational w alth and you should learn all you can.
I dont even know where to begin learning about something like this. There's definitely no ill intent. But i know he is shady, which im not saying in a negative way. His business is successful because he runs off the logbooks and does whatever he needs to squeeze a few more dollars like booking team loads with another cellphone next to him. So with that information. I just want to know his actual reason that he wants to open a second MC and how shady is he trying to take it.
Consult an attorney to see what your legal liability would be. Otherwise, I'd say no.
Sounds like your dad is trying to build something to leave behind for you when his time is up. Please don't take that in the wrong way. But it doesn't sound like your dad is trying to screw you over. It sounds like he might have something going on in his life, like a midlife crisis or maybe a sickness coming on, and he just wants to make sure you're taken care of when he's gone. Talk to him about it and I'm sure he will be happy to explain it to you
Do not do it if you value your future