If an employer has not paid me for work done last year in an amount totaling $25,000 and now it’s closed, how do I sue them?

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If an employer has not paid me for work done last year in an amount totaling $25,000 and now it’s closed, how do I sue them?

Asked on November 15, 2012 under Employment Labor Law, New Jersey

Answers:

SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 8 years ago | Contributor

If the employer was a corporation or an LLC and it's closed, you effectively have no recourse: either the company was dissolved, and there is no one to sue, or it still technically exists but has no income or assets, so there's no money to be had. That's because a corporation or LLC is its own legal entity; so if that was your employer, that's the only entity to sue.

If the company however was not a corporation or a limited liability company (it was not an "inc." or an LLC), such as it was a sole proprietorship or partnership, then you could sue the owner(s) personally. In this case, there was no separate legal entity and the owner(s) were the business. You would sue them, naming them as "John Doe, doing busines as Company Name Here."


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