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Closing a S corporation

by Scott Thomas, Window Shopper

  • Created: August 23, 2012, 1:08 pm
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2 comments
Hi, my name is Scott and I am thinking about closing my RE company. It is a S corporation. I do the resolution letters to the stock holders. After filing all the forms to both State and Federal government. Paying off all liabilities. I finally close the S corporation. What happens if someone from 2010 files a law suite with the company in 2013?
Tags: Discuss Popular Topics, Other Business Issues
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BizResearcher | Window Shopper | 8/28/2012 - 11:38 am

I am not a lawyer, but my understanding is that if you formally dissolved the
company, then it no longer exists so cannot be sued. However, depending on
circumstances, it is possible that someone could attempt to personally sue
you. If you know of a situation that occurred in 2010 that might become an
issue, you may want to talk with an attorney to find out if you need to do
anything additional to protect yourself.

kmurray | Community Moderator | 8/27/2012 - 9:48 am

Hi Scott, It will be best to get in touch with a lawyer to answer these questions. You could also contact a local Small Business Development Center or SCORE office. These SBA resource partners are located across the country and provide free business counseling and answers. Visit SBA Direct to find your local SBA resource partners by entering your zip code.