Q: A former client sued my business. If they win a settlement, but my business has no assets, can they come after me for

A: Yes and no. If you are not personally a defendant they can only get to you by "piercing the corporate veil" and proving commingling of funds. This requires a subsequent motion by them.

A: They would need to obtain vicarious liability between you and the corporation, essentially show that the corporation was a sham enterprise or was an alter ego of yourself. There are many factors taken into account in so called "piercing the corporate veil," but if you had a legitimate business purpose and your actions were all in line with legitimate business purposes as opposed to personal ones than you should have a good defense to any attempt for the plaintiff to attach personal liability upon you.

A: You do not indicate what type of business entity you were operating under and what type of a business. The answer, therefore, is "maybe". Also, a settlement would imply an agreement to resolve the issue, rather than a judgment issued by the court. If you make a settlemet agreement to pay from assets you know the business entity does not have, you may very well be personally liable.

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A: It depends on the facts, whether you commingled funds, whether the business was authentic, and other factors. More details are necessary to provide a professional analysis of your issue. The best first step is an Initial Consultation with an Attorney. You can read more about me, my credentials, awards, honors, testimonials, and media appearances/ publications on my law practice website, www.AEesq.com. I practice law in CA, NY, MA, and DC in the following areas of law: Business & Contracts, Criminal Defense, Divorce & Child Custody, and Education Law. This answer does not constitute legal advice; make any predictions, guarantees, or warranties; or create any Attorney-Client relationship.