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Corporate Suspension - road maintenance Non profit

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Nick Mamich

Junior Member
Maine

I'd like an opinion on whether the status of a suspended corporation (a non-profit road maintenance organization) affects their ability to do business and whether they have authority to defend themselves in court.

!) Can a suspended non profit corporation legally conduct business? It was suspended by the secretary of state for not filing reports required by law for a long period of time (6/89 - 09/98) and was an active entity during that time period.
2) Can the same corporation serve process & sue in court while suspended?
3) If answer to 2) is no, can you countersue the suspended "corp" for illegally conducting business and serving process in court ?
4) If the answer to 3) is yes, what damages can I sue for?
5) If the answer to 3) is yes, is the agent liable? Or the board? Or anybody else?

Thank you in advance for your efforts!
 


HomeGuru

Senior Member
Maine

I'd like an opinion on whether the status of a suspended corporation (a non-profit road maintenance organization) affects their ability to do business and whether they have authority to defend themselves in court.

!) Can a suspended non profit corporation legally conduct business? It was suspended by the secretary of state for not filing reports required by law for a long period of time (6/89 - 09/98) and was an active entity during that time period.
2) Can the same corporation serve process & sue in court while suspended?
3) If answer to 2) is no, can you countersue the suspended "corp" for illegally conducting business and serving process in court ?
4) If the answer to 3) is yes, what damages can I sue for?
5) If the answer to 3) is yes, is the agent liable? Or the board? Or anybody else?

Thank you in advance for your efforts!
**A: the corporation is no longer a legal entity, thus is restricted form conducting business.
 

LdiJ

Senior Member
**A: the corporation is no longer a legal entity, thus is restricted form conducting business.
I don't disagree. However, its not at all unusual for a corporation to be abandoned and the former shareholders to operate in a different manner. As perhaps partners or if only one shareholder, as a sole proprietor.

I would question any road maintenance company being legitimately a not for profit corporation. In many states there is no such thing as a not for profit "corporation". It's not for profit "organization". Therefore the organization may have been abandoned for good reason. Maybe they did not shut it down properly (which happens ALL the time) but they may have abandoned it because it wasn't appropriate.
 

HomeGuru

Senior Member
I don't disagree. However, its not at all unusual for a corporation to be abandoned and the former shareholders to operate in a different manner. As perhaps partners or if only one shareholder, as a sole proprietor.

I would question any road maintenance company being legitimately a not for profit corporation. In many states there is no such thing as a not for profit "corporation". It's not for profit "organization". Therefore the organization may have been abandoned for good reason. Maybe they did not shut it down properly (which happens ALL the time) but they may have abandoned it because it wasn't appropriate.
**A: yes, but given the limited information my response was based on that.
 

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