Found an issue on this page? Let us know and we will look into it as soon as possible.
I'm in the process of forming a LLC for my business.
Anonymous6 views3 answers
Recently I was served to appear in small claims court over a service my company provided 4 years ago. If we a LLC at the time we appear in court will any information need to be changed with the court? I heard there are rules when your a LLC in small claims.
If you are just forming an LLC, I am not certain what relationship that still has for a possible past obligation that may have created potential liability 4 years ago. Whatever Agreement you had with the Plaintiff, you might want to have reviewed by an attorney to see if you have a Statute of Limitations defense.
You were personally sued because of the services your sole proprietorship business provided. Creating a LLC after the fact does not provide you with protection. The individual or company that you provided services to contracted with you personally, not the future LLC.
It was your legal status when the acts complained of took place, not your LLC status at the time of the trial that will control. Depending on the claim, you may have a statute of limitations defense, which on written contracts in CA is 4 years.
