charsetndows-1252
A couple of responses:
1. Dissolution is neither here nor there; corporation doesn't get a discharge, but once the case is closed, you can dissolve if it is advantageous, but keep in mind that Trustee might abandon some dubious assets, then you have to decide what to do with them, and someone i.e. a person has to personally sign for any FTB debt in order to get dissolution (is my recollection). So you might want to just let it die.
2. A customer list is property of the estate as are any contract rights; but Trustees rarely find any value in the contracts, or they are not transferrable; maybe someone would like to buy the customer list, but it gets stale quickly when you are out of business, at least in a lot of businesses.
3. No discharge at all for corporation, but the principals may be personally and/or non-dischargeably responsible for payroll and certainly the withheld portion of payroll taxes. And yes, the Labor Commissioner may come after the individuals, depending on the circumstances.
Jason
On Dec 1, 2010, at 11:24 AM, Christine Wilton wrote:
> Hello Listmates,
>
> I have a corporation that is being sued and looking to file under chapter 7 and dissolve the corporation.
>
> I have questions concerning assets of the estate:
>
> What happens to the clients? Are they an asset of the estate if there are contracts?
>
> Is payroll a dischargeable debt? My thought is that their are labor and employment law issues concerning payroll.
>
> Any thoughts or insights will be helpful. Thank you in advance for your help.
> --
>
> Christine A. Wilton
> Principal Attorney
> Greifendorff Law Offices, PC
> 12644-12646 Hoover Street
> Garden Grove, CA 92841
> Office: 800-861-0786
> Cell: 562-824-7563
> Fax: 800-861-0786
> Email:
christine@greifenlaw.com
> Web:
www.greifenlaw.com
> Blog:
www.losangelesbankruptcylawmonitor.com
> ***************************
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charsetndows-1252
A couple of responses:1. Dissolution is neither here nor there; corporation doesn't get a discharge, but once the case is closed, you can dissolve if it is advantageous, but keep in mind that Trustee might abandon some dubious assets, then you have to decide what to do with them, and someone i.e. a person has to personally sign for any FTB debt in order to get dissolution (is my recollection). So you might want to just let it die.2. A customer list is property of the estate as are any contract rights; but Trustees rarely find any value in the contracts, or they are not transferrable; maybe someone would like to buy the customer list, but it gets stale quickly when you are out of business, at least in a lot of businesses.3. No discharge at all for corporation, but the principals may be personally and/or non-dischargeably responsible for payroll and certainly the withheld portion of payroll taxes. And yes, the Labor Commissioner may come after the individuals, depending on the circumstances.JasonOn Dec 1, 2010, at 11:24 AM, Christine Wilton wrote:
Hello Listmates,I have a corporation that is being sued and looking to file under chapter 7 and dissolve the corporation.I have questions concerning assets of the estate:What happens to the clients? Are they an asset of the estate if there are contracts?
Is payroll a dischargeable debt? My thought is that their are labor and employment law issues concerning payroll.Any thoughts or insights will be helpful. Thank you in advance for your help.-- Christine A. Wilton
Principal AttorneyGreifendorff Law Offices, PC12644-12646 Hoover Street
Garden Grove, CA 92841
Office: 800-861-0786Cell: 562-824-7563Fax: 800-861-0786Email:
christine@greifenlaw.comWeb:
www.greifenlaw.com
Blog:
The post was migrated from Yahoo.