Phoenix, AZ asked in Bankruptcy, Business Formation, Business Law and Civil Litigation for Arizona

Q: Def transferd all assets to LLC aftr judgment, can I gain access to LLC with a Default Judgment of new Complaint?

Won a judgment against defendant. The def had an LLC for their business but never used it in any way. It laid dormant since 2019 until my judgment. The original first year address has been outdated and out of commission. The Arizona Corp Commission has suggested this would be an Invalid LLC address subject to being Administratively dissolved A.R.S. 29-3708 or revoked. Per the AZ LLC Act (Section 29-3115), Statutory Agent must have a physical address located in AZ. If I were to send out a piece of mail to her LLC and it comes back as undeliverable, it will confirm the status. I would then file a new Complaint against the LLC, have it served, where it will again show that the business and agent are undeliverable. After 20 days file an App for Default and 10 days following a Default Judgment....there will still be no response. ACC states that per Rule 140 of the AZRCP, the person suing your business can argue their case without you being there to defend. Will this allow me access to LLC?

1 Lawyer Answer
Timothy Denison
Timothy Denison
  • Bankruptcy Lawyer
  • Louisville, KY

A: No. You would need to try to “pierce the corporate veil.” It is doable but difficult and a new default judgment or complaint would not be effective in so doing.

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