Legal Question in Business Law in Georgia
law suit against the business
Hi,
I was the president of a business which is closed. the bank filed a law suit against the business now. do i have to get it served? what happens if I reject to get served?
3 Answers from Attorneys
Re: law suit against the business
If the business is properly served in accordance with the law, it is not something you can "reject." What the lawsuit means to a closed business or its officers/owners is, of course, a different question, based on the specific facts and allegations.
Re: law suit against the business
It seems like there is really two questions.
First, one cannot "reject" service. Some folks believe that they can reject service or deny a certified letter and thus avoid liability. This is simply untrue.
Second, what is your liability? If the plaintiff has only served the corporation, that your 'corporate shield' seems to be protecting you. However, the plaintiff could hold you personally liable under a variety of different theories, including the most common of "piercing the corporate shield".
What to do? You shold obtain a copy of the Complaint from the Clerk's office so that you can determine your liability.
Please contact me if you need assistance.
Re: law suit against the business
A lot depends on what you mean by the business is "closed." A truly dissolved company does not exist and cannot be sued. However, there may be potentially personal liability for the principals/officers depending on the circumstances. I would recommend getting a copy of the complaint and having a business attorney review it. You don�t want to risk having a pending lawsuit out there that could involve you personally.
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