Legal Question in Business Law in Maryland

Law Suit

I worked for a family construction business that has recently closed and a few of the subcontractors have filed a lawsuit against my father, sister and I for the monies owed. I understand that my father was President and owned 90% of the company, my sister was Vice President, Secretary Treasurer and owned 10% of the company. I was a Project Manager / Estimator and did not own any part of the company 0%. Can these subcontractors actually file a lawsuit against myself? If so, will I have to file for bankruptcy?


Asked on 6/13/07, 7:16 pm

2 Answers from Attorneys
Robert Sher Wagshal and Sher

Re: Law Suit

Although you didn't actually say so, it sounds like the business is a corportion. As such, only the corporation can be sued, since it was the legal entity that had contractual relationships with the subs. Of course, if the corporation is in default because it failed to file timely reports with the state, the shareholders may be personally exposed. You should retain an attorney if you haven't already done so and move to dismiss or take other action necessary to protect your interests.

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Answered on 6/14/07, 9:47 am
G. Joseph Holthaus III Law Offices of G. Joseph Holthaus

Re: Law Suit

You may be called as a witness in some capacity. If so you may consider hiring counsel.

If you do not own an interest in the company you cannot be sued if the company itself is being sued. You may be sued as an agent to the company.

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Answered on 6/13/07, 11:07 pm


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