update: I drove by her retail store: yes, its closed. However there was a sign that said they were moving down the street. I am guessing she got evicted. When I met her later, I reminded her that we will check if she really did file BK protection.
Question: What does declaring bankruptcy mean? Can she still operate her current LLC or does she desolve it? The reason being I was led to believe that even if we were awarded a judgement, then we couldn't collect it. If she's still operating and doing business and can collect, I believe I have justification to claim I entered a bad faith agreement due to her telling me that there was no way she could pay me.
If I find out she isn't or hasn't filed I am going to be super agressive. I'll file criminal complaints on top of a civil suit, I hate getting fucked with and I hate losing.
I'll talk to my lawyer friend for advice. will update.
I'm thinking of sending her an email to that effect..but I'll probably wait until the results of the public bankruptcy search.