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Attorney2020
Attorney2020, Attorney
Category: Business Law
Satisfied Customers: 2579
Experience:  I am a practicing attorney. I have experience in business law, bankruptcy, real estate law and estates.
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We had a business and we were unable to pay union dues to

Customer Question

We had a business and we were unable to pay union dues to the masonry union located in Washington state. This business was owned by my husband and myself. We were unable to pay some other bills as well so we shut the company down. We started another construction company in my name only right after the first company was closed down. After 2 years of doing construction work with the new construction company we got a letter from L&I stating that we had a judgment against our company so they were shutting our account down. What happened is that the union called the second company a successor company and attached the debt to the new company. The masonry union contacted L&I and told them about the judgement and our account was shut down. The judgment date is 2010. We have not had a company in our name since 2011. I contacted L&I and asked if the union would be able to shut our company down if we started a new company. L&I made it sound like our account should not have been shut down and told us to contact a lawyer. I am assuming that if the masonry union of Washington was legally able to shut down our L&I account that they would not be able to shut down a future construction company because it would not be considered a successor company. Please can you advise me.
Submitted: 2 years ago.
Category: Business Law
Expert:  Attorney2020 replied 2 years ago.

The union cannot shut down you company, however, the union can attach the judgment to any new company that is formed that is similar and comparable to the original company where the judgment is attached. If you start a new company completelty distinct from the original company and or any other company where the judgment has been attached it would make it much harder for the union to attach a judgment against such a company.

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Expert:  Attorney2020 replied 2 years ago.

I hope that helped. Please ask any follow-up questions. Please rate my answer so that I may be credited for my time. I thank you in advance for your cooperation. Thank you.