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Can I be sued personally

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ecoachpro

Junior Member
What is the name of your state (only U.S. law)? Florida.

I started corporation in FL a couple of years ago. Purchase product from CA corporation. Received product and didn't have funds to pay bill. Company now no longer in business. Corporation in FL inactive. No bank accounts. My inactive corporation is now being sued by CA corporation for debt. Do I need to respond to complaint? Do I respond as office of former corporation or personally or ignore? Can I just advise the court that debt was corporate debt and company no longer conducting business? Thanks.What is the name of your state (only U.S. law)?
 


HomeGuru

Senior Member
What is the name of your state (only U.S. law)? Florida.

I started corporation in FL a couple of years ago. Purchase product from CA corporation. Received product and didn't have funds to pay bill. Company now no longer in business. Corporation in FL inactive. No bank accounts. My inactive corporation is now being sued by CA corporation for debt. Do I need to respond to complaint? Do I respond as office of former corporation or personally or ignore? Can I just advise the court that debt was corporate debt and company no longer conducting business? Thanks.What is the name of your state (only U.S. law)?
**A: if you got served the complaint, yes you need to respond by following the directions in the complaint.
 

JETX

Senior Member
Do I need to respond to complaint? Do I respond as office of former corporation or personally or ignore? Can I just advise the court that debt was corporate debt and company no longer conducting business?
Most state laws allow a 'defunct' corporation to still be liable for their conduct. In your case, the corporation clearly owed the money and failed to pay from their 'assets'. Depending on the business of the corporation, there are almost ALWAYS some corporate assets that were 'converted' to your personal use (computers, phones, copiers, furniture, bank funds, cash registers, tools, etc.)

Also, very likely that the corporation was not 'closed' properly as required by law.

If you don't file a response to the lawsuit, they will get a default judgment against the corporation. Then, you, as an officer of the corporation (presuming you were an officer/director), could be hauled into court to explain where the corporations 'assets' went. Depending on the specifics of 'purchase', the court could 'pierce the veil' and make you personally liable.

I have won LOTS of cases very similar to yours.... and gotten judgments converted from the 'officers/directors' to individual... and enforced them!!

Don't mess with a pissed off creditor!! :D
 

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