Legal Question in Civil Litigation in California

Small Claims Lawsuit

I am suing a graphic design company. I am praying for $1500.00, payment made to them for completion of a logo and corporate identity service. Through my extensive research of the company, I found that they have greatly misrepresented themselves. One main discovery, among several others, is that they had not obtained a fictitious business name filing or a business license at the time we carried out our contract and handed my payment/check over to them. They claimed to be a two-year old company, having several large accounts (including non-profit organizations and large reputable companies), and so on. Low and behold, I had become their first customer.

Is it against the law to run a company and accept monies without a business license? I have had no luck in locating laws/codes specific to my question. Thank you in advance.


Asked on 5/02/03, 3:39 pm

3 Answers from Attorneys

Jason Hsu Una Law Corporation

Re: Small Claims Lawsuit

You will need to check the with the local city government to see if a particular business license is required.

Generally, to do business under a fictitious name there should have been a dba filed.

The information provided to you is of a general nature. We hope this information has been helpful to you, but you should always obtain competent legal counsel who is familiar with your specific legal issues to determine the best course of action. If we can help you in the future with anything, please feel free to email or contact us at www.unalaw.com

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Answered on 5/02/03, 4:12 pm
Mona Montgomery Mona Montgomery, Attorney at law

Re: Small Claims Lawsuit

All the judge wants to know is whether they owe you the $1500.00. Take in your proof that you paid the money and did not get value for your money. You may want to throw in that they don't have a business license after you check to make sure it's against the law to conduct business without a license but I don't think it's worth wasting your time. All it would do is be a little extra bad thing to say. The real issue is whether or not they owe you money. If they owe you money you will get your judgement. Then your problem will be to collect the judgement. You have have to hold another hearing for that and often these people come in without any money and lie to the judgement officer and say they have no money and there is not much you can do. But the first thing is to get the judgement. All you have to do to get the judgement is prove they owe you the money. Have good, documented proof that you paid the money and did not receive value in return.

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Answered on 5/02/03, 7:20 pm
Alvin Tenner Law Office of Alvin G. Tenner

Re: Small Claims Lawsuit

Not registering a dba or not having a business license does not effect your case. If they did not deliver the goods, then you should win. You can and should bring up their misrepresentations about their work history.

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Answered on 5/03/03, 3:49 pm


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