Legal Question in Business Law in California
California Suspended Corporation
Can a california for profit Corporation with a suspension status by either the secretary of state or the franchise tax board continue to conduct business. For example, collection on a promissory note and iniciating forclosure via a third party company. Is it lawful for the suspendend corporation to conduct such business.
How long can a corporation maintain a suspended status and when or can they be disolved.
3 Answers from Attorneys
Re: California Suspended Corporation
Suspended corporation may NOT sue on a promissory note.
JOEL SELIK
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Re: California Suspended Corporation
To sue, the corp. would need to get its status back to ACTIVE. To dissolve the corp. and stop racking up back taxes, the corp. must be brought up to date and then dissolved. Please contact me if you desire to retain me to assist with and counsel you regarding this matter.
http://www.incorporatecalifornia.com
Re: California Suspended Corporation
1. Technically, no.
2. Suspended is forever until reversed, but fees and penalties keep accruing.
Get yourself some proper advice on how to handle the situation before causing further trouble for the incorporators, officers, directors, etc. Contact me if interested in doing so.
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