Legal Question in Credit and Debt Law in Ohio

Corporate Veil

I am owed $1800 by a company for services rendered. The company

is incorporated but owned by just one person. A couple months after

this work was done and billed the company stopped doing business

and now claims(many months later) it has no funds to pay its

unsecured creditors. Can this debt be pursued in say, small claims

court from the owner or owner/corporation? My feeling being that

the sole owner of this non-operating company should not be able to

hide behind the corporate veil in order to get out of paying what I am

owed.


Asked on 3/02/05, 3:51 pm

1 Answer from Attorneys
Frank Rozanc Frank J. Rozanc, Esq.

Re: Corporate Veil

You can file in small claims court, or regular municipal court, and you should go after the individual, and the entity, jointly and severally. That way, even if the corporation has nothing, you can attach the judgment to his individual assets. Even if you get the judgment however, that will not prevent the defendant from filing for bankruptcy for both himself and the corporation.

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Answered on 3/04/05, 3:07 pm


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