Legal Question in Business Law in Utah

Is this embezzlement?

my mom works at a small business. recently they have ran into financial problems. My mom's boss just said she would be the only one to cut back hours. The thing i dont understand is that last year he had two weddings to pay for, he used the business' money to pay for one. he say's that it's his business(which it is) but what i don't get is that how is that legal. they are now incorporated. He already get's a paycheck, his wife gets one also(even though she doesn't do any work for them). was it legal for the boss to take the business' money? Is this embezzlement?


Asked on 2/25/03, 11:29 am

1 Answer from Attorneys
Alvin Lundgren Alvin R. Lundgren, L.C.

Re: Is this embezzlement?

It was probably not illegal for the boss to take the money. A question is raised whether he properly reports income, and whether he is trying to hide income so he does not have to pay taxes on it.

As far as your mother's situation, nothing "illegal" is done by cutting back her hours. Her choice is to stay or look for another job. If her hours are cut back enough it may act as a constructive termination, which might entitle her for unemployment compensation.

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Answered on 2/25/03, 8:39 pm


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