Your Contract Is Voidable, What Now?

When a corporation or limited liability company fails to pay its taxes, penalties, fees or interest or file a return with the Franchise Tax Board, it will be suspended.  If the suspended corporation or LLC enters into a contract while suspended by...

Why A Dissolved Corporation May Sue While A Suspended Corporation May Not

Under the California General Corporation Law a corporation which is dissolved nevertheless continues to exist for the purpose, among others, of prosecuting actions.  Cal. Corp. Code § 2010(a).   Further, no action to which a dissolved corporation is...

Corporate Suspension No Bar To Creditor's Suit

Wanke Industrial, Commercial, Residential, Inc. v. AV Builder Corp.,  2020 Cal. App. LEXIS 134, involved a judgment creditor's attempt to enforce its judgment against its judgment debtor's debtor.  On appeal, the debtor's debtor argued that the...

Fictitious Name Use Fails To Engender Standing Or Jurisdictional Issue

California Code of Civil Procedure Section 367 requires that every action must be prosecuted in the name of the real party of interest.  What happens when a plaintiff sues under a fictitious business name of a dissolved foreign limited liability...

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