Legal Question in Business Law in California
Can Plaintiff proceeds to trial with their complaint against a corporation and LLC officer Defendant personally before piercing the corporate or LLC Vail
2 Answers from Attorneys
Yes, plaintiff surely can. A plaintiff could name XYZ Corporation, its president John Doe, Mickey Mouse and Santa Claus in the same complaint, and bring them all to trial together, without making a single allegation directed toward piercing the veil. (Of course, service of process on Mickey and Santa might prove difficult.)
A plaintiff can join in a single lawsuit any and all defendants against whom plaintiff reasonably believes he is entitled to relief arising from the same or related transactions or sets of facts. This is called "joinder" and is detailed in Code of Civil Procedure section 379.
If the defendant believes plaintiff is overreaching and there is no way he should be in the lawsuit, he may demur to the complaint on the ground of misjoinder of parties.
While Mr. Whipple's answer is correct, I don't think it addresses the issues presented by your question. The reason you can proceed against officers of a corporation or LLC without piercing the corporate veil, is because piercing the corporate veil is unrelated to suing officers of a corporation or LLC. Piercing the corporate veil reaches the OWNERS of the corporation on the grounds that, in spite of filing paperwork for a corporation or LLC, they have operated the company as a sole proprietorship or partnership, and allowing them to hide behind the corporate or LLC form would work an injustice to the plaintiff (usually because the corporation or LLC has no money to satisfy a judgment). Whether or not you can sue the officers of a business only depends on whether they personally have engaged in acts or omissions that give rise to liability to you.
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