Q: Should you sue a corporation and an officer of the corporation at the same time?
We are suing a corporation for misrepresentation. We have proof that one of the officers committed fraud. Should we include the name of the officer (who happens to be the owner of the corporation) in the lawsuit, or only the corporation? The owner was previously sued for breach of contract and that case was dismissed with prejudice on an ill-will part of the owner (trickery, deceit). In the new lawsuit, should the owner be named as a defendant under the corporation?
A:
The important thing you mentioned is you have proof the officer committed fraud. It'll depend on what the proof is. Fraud is also different so you need more specific proof than for other causes of action. With your proof, you'll at least have an argument for suing both the officer and corporation. If you had no proof and were just suing the officer under a "might as well sue him" theory, I'd say your fight would be much harder.
If the defendant corporation is a small one (i.e. private, few shareholders, etc), it is plausible to think that formalities were not observed so things like piercing and alter ego theory could, in theory, apply.
Only way to know is to consult a lawyer.
Andy
Justia Ask a Lawyer is a forum for consumers to get answers to basic legal questions. Any information sent through Justia Ask a Lawyer is not secure and is done so on a non-confidential basis only.
The use of this website to ask questions or receive answers does not create an attorney–client relationship between you and Justia, or between you and any attorney who receives your information or responds to your questions, nor is it intended to create such a relationship. Additionally, no responses on this forum constitute legal advice, which must be tailored to the specific circumstances of each case. You should not act upon information provided in Justia Ask a Lawyer without seeking professional counsel from an attorney admitted or authorized to practice in your jurisdiction. Justia assumes no responsibility to any person who relies on information contained on or received through this site and disclaims all liability in respect to such information.
Justia cannot guarantee that the information on this website (including any legal information provided by an attorney through this service) is accurate, complete, or up-to-date. While we intend to make every attempt to keep the information on this site current, the owners of and contributors to this site make no claims, promises or guarantees about the accuracy, completeness or adequacy of the information contained in or linked to from this site.
