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BizIPEsq.
BizIPEsq., Attorney
Category: Business Law
Satisfied Customers: 996
Experience:  I am a business attorney. I represent individuals and companies with all business related matters.
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I had a security company that was a sole proprietary company

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I had a security company that was a sole proprietary company which was licensed in the state of Illinois. I later ended that company in 2011 then started a new company which is now a llc. It has a different name and different license number. I just found out through an ex employee that he is getting sued and it names my company as an unknown security company as being one of the defendants. At the time it was the sole proprietary company that is no longer in business. Can you sue a sole proprietary thats been out of business for 2 years? Can the lawsuit be passed to the new llc company?

BizIPEsq. :

Hello, I will be assisting you

BizIPEsq. :

A sole proprietorship is not a "company" rather it is a designation of a person doing business under a business name. As such, a sole proprietorship does not have any of the limited liability protection that a company would have and hence the individual owner can be sued personally

BizIPEsq. :

your current LLC company does provide you with limited liability and to the extent possible would shield you from legal actions against you

Customer:

Can they sue a sole proprietary that's no longer in business?

BizIPEsq. :

a sole proprietorship is generally not dissolved as there isn't any company to dissolve so unfortunately your personal liability continues even if you are not using the name

BizIPEsq. :

so the answer is yes because they are in effect suing you

BizIPEsq. :

the law suit cannot be passed to the LLC because the LLC was not involved in the matter as it did not exist at time of the events. In fact, plaintiff would likely rather sue you than an LLC because you likely have assets to collect against while the LLC may little to no assets

Customer:

Oh wow! Thanks

BizIPEsq. :

you are welcome

BizIPEsq. :

please rate my answer

BizIPEsq. :

without your rating I do not get compensated for my work

Customer:

Ok

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