unpaid wages from forclosed business

[jamestob]

My former employer shut down his business with 0 warning,and is letting the bank forclose on it.he owed me back wages for a month+he's trying to hide behind the LLC so as not to pay me,we go to court on wed.the state already found in my favor but he just keeps saying the businees owes me not him as the sole proprietor.I have a copy of a personal check he wrote to the other manager from his personal account for wages due that he paid 2 weeks after he locked the doors.there will be know money left over after the sherrifs sale.can he put this under the LLC or do wages count differently than other creditors.

 

[disagreeable]

There is a term called piercing the corporate veil. He appears to have voluntarily done this and you have proof. In Milwaukee Toy Co. v. Industrial Commission of Wisconsin, the Wisconsin Supreme Court described the doctrine by stating that limited liability will be disregarded and the corporate veil will be pierced when the corporation has no separate existence and a person deals with his or her own property through a corporation just as if he or she were dealing with it individually, and "applying the corporate fiction would accomplish some fraudulent purpose, operate as a constructive fraud, or defeat some equitable claim."

Here is a link expounding on that, so you can practice.

http://www.wisbar.org/AM/Template.c...mplate=/CM/ContentDisplay.cfm&contentid=55902

 

[jamestob]

Distinguished Colleague,thank you for the info,it was very helpful hopefully the judge will see that he has already pierced the veil.in mediation he did try to say he just moved the money from the corporate to his account,and when asked why he didnt just write a check from the corporate,he said it would have bounced...not the brightest bulb on the tree is he....thanks again