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Richard, Attorney
Category: Business Law
Satisfied Customers: 53715
Experience:  32 years of experience practicing law and a businessman.
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I signed an employment contract with the owner of an LLC to

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I signed an employment contract with the owner of an LLC to manage a business she was acquiring. The contract was signed by her, as the principal of "xyz, LLC". It included a lump sum payment to me if she terminated by. She has now terminated my employment and claims that because the new LLC had not actually been formed at the time of signature, the contract is null and void. Since I entered it in good faith, and she signed it, can I go to small claims court to collect damages? Is this a breach of contract or contract fraud (signing for a company that didn't exist)?

Good afternoon. You have a valid contract and you are entitled to your payment. Her argument about the formation of the LLC is actually going to put her in more jeopardy than she realizes. Since she signed the agreement, if the company was not validly formed yet, then you can go after not only the LLC but her individually. File your should prevail at the hearing! :)



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