Legal Question in Bankruptcy in California

can i sue the employee

This is my case: I own a small embroidery business. I have been doing business a company called XYZ for almost a year. During the time we did business, XYZ has accumulated $10,000 debt. Thus, I stopped doing business with XYZ until they repay all my money. Recently XYZ filed bankruptcy. and I did not get any of my money back because XYZ doesn't have any asset. I'm thinking suing ABC (an employee of XYZ). I think ABC is the real owner of XYZ. Since the first day I do business with XYZ, I have never seen the register owner, and I have only doing business with ABC. Even when I went to the company, I can only find ABC and his assistant at the company. Also, ABC is the person who sign the $10,000 promissory note. I believe that ABC use another person's name to open the business and file bankruptcy when ABC makes enough money so he does not has to pay any of the debt. Can I sue ABC for my $10,000? any advice on my case. P.S. XYZ is an sole proprietor and is located at Los Angeles CA. Thank you!!! plz email if you need more info.


Asked on 7/29/03, 6:55 pm

1 Answer from Attorneys
Robert F. Cohen Law Office of Robert F. Cohen

Re: can i sue the employee

If ABC signed the promissory note, and did not indicate an official capacity with XYZ, and you believed you were doing business with ABC, there is a possibility that ABC might be responsible for the debt. You should have a lawyer review the promissory note and other documents.

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Answered on 7/29/03, 7:47 pm


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