Legal Question in Business Law in California

Sold a suspended corp.

I recently purchased a mortgage company from the Broker/Owner. Our contract states that the company is in good standing and I would not me responsible for any liens or previous debt. When registering it I found out that the corp. was suspended and it had a few thousand in debt. Because he breached the contract I requested my money back but, he refused. So now all I have is a piece of paper saying I own it. Since he is a Broker, I recently found out that he is still doing business under a DBA that belongs to ''my company''. A side from that he has been continuosly tainting my reputation and harassing our family. I have tried to go to different state departments but, everyone says it a civil matter. There is another couple who are trying to pursue him for idenity theft but, are having a hard time getting him. What options do I have? Can I pursue him legally for fraud? I seems as if he's getting away with everything and he continues to do more and more. I lost a lot with this bad business transaction so, I don't have much money. I don't want the responsiblity of owning a bad company.


Asked on 9/26/08, 9:59 am

2 Answers from Attorneys
Michael Stone Law Offices of Michael B. Stone Toll Free 1-855-USE-MIKE

Re: Sold a suspended corp.

I would consult the lawyer whom you hired to draft, or review, the contract you signed.

Read more
Answered on 9/26/08, 11:20 am
Terry A. Nelson Nelson & Lawless

Re: Sold a suspended corp.

Sure, you can sue him. If he has any assets remaining if and when you get a judgment, you might even get paid some of your money back. He might even settle once he gets sued. Feel free to contact me if serious about bringing suit, if the case is in SoCal courts.

Read more
Answered on 9/26/08, 1:26 pm


Related Questions & Answers

More Business Law questions and answers in California