Legal Question in Investment Law in Florida
If I own shares in an incorporated finance company in Ohio and the operators mis-manage the company to the extent my shares are worthless can I sue the CEO personally and attach his personal assets?
Asked on 2/03/10, 3:47 pm
1 Answer from Attorneys
Sarah Grosse
Sarah Grosse, Esquire
Under most circumstances, no. You can only sue the company, and the personal assets of the company's principals are insulated from liability. Exceptions to this would be if you could "breach the corporate veil" and if the principals not only breached their fiduciary duty but also acted willfully and wantonly (rather than negligently or recklessly). Mere "mismanagement" does not rise to that level, but one would need to do some investigation and know more facts before determining definitively whether the CEO can be personally liable.
Answered on 2/09/10, 4:28 am
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