QUESTION
Am I able to sue a company after they have gone out of business?
Asked on Aug 21st, 2014 on Business Law - Michigan
More details to this question:
I bought a body contouring package from a company called Body Light Fat Loss Center. I did not get to use all of my sessions due to my work schedule. I recently called to schedule an appointment now that I have more time. None of the phone numbers worked and I found out that the business is now closed. I am now out the money that I spent on the package that I got talked into. Could a lawsuit be possible?
1 ANSWER
Do you know ifthis company was a corporation or other independent entity? If so, you could sue it, but there would be little point, as you would have no way to collect on any judgment you received; if the company is out of business, it likely has no assets. It is possible that the company wrongffully transferred some of its assets which you could theoretically go after, but the hardship, time, and expense that would entail are just not worth it for this amount of money. If the company was not an independent entity, you would be suing the individuals who operated the business who may, even though this business is no longer operating, still have assets with which to satisfy a judgment.
Answered on Aug 21st, 2014 at 12:14 PM