QUESTION
What can I do if Ex Contractor threatens to sue out of business LLC?
Asked on Oct 20th, 2012 on Labor and Employment - Oregon
More details to this question:
I have an LLC company that went out of business in 2008, an ex-contractor continues to stalk and harass me online, and is threatening to sue unless I pay her for services. When the company closed many contractors did not get paid, one actually took the company to court that year and won back pay from the state (all of this I didn't know as the company was closed) but once I found out I was told as an individual I was not liable. I assume that is true for the new contractor harassing me as well.
4 ANSWERS
Steven Lee Miller
It depends. A subcontractor would have a problem suing you unless there was fraud on your part. On the other hand, and former employee for wages, if he names you there is a provision of the labor code that could make you liable. when you say "out of business" did you formally wrap things up with the secretary of state.
Answered on Oct 24th, 2012 at 9:17 PM
General Practice Attorney serving Glendale, CA
at
Law Office of Michael Stafford
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The general rule, with exceptions, is that you are not responsible for the debts of the LLC.
Answered on Oct 24th, 2012 at 4:14 PM
Appellate Attorney serving Grosse Pointe Farms, MI
at
Musilli Brennan Associates, PLLC
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It appears you are the homeowner, and paid the original contractor which did not pay its subs. There is a fund in Michigan with, under circumstances such as yours, pays the subs. The contractor currently pursuing you apparently did not avail herself of that possibility or is not qualified.
Answered on Oct 24th, 2012 at 4:03 PM
Administrative Law Attorney serving Sherwood, OR
Partner at
Employment Law Professionals Northwest LLC
3 Awards
Provided that you had a validly formed LLC and closed it without taking any of the assets instead of paying creditors, you should not be liable for any of the LLC debt. Further, it is possible you have a cause of action against the contractor for harassing debt collection practices.
Answered on Oct 24th, 2012 at 3:59 PM