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Is the owner of a closed LLC personally liable for a personal injury claim?

Las Vegas, NV |

Our business closed about 18 months ago, which was an LLC in Nevada. Just this past month I received a civil summons stating that the LLC is being sued as well as me (the owner) due to an injury sustained in the business about 1 month before we closed it (about 19 months ago). The complaint states that the plaintiff can no longer work in the capacity he did prior to the event and that he has and will contine to incur medical expenses. Prior to a month ago we had not been informed that there was an injury to the plaintiff at all. Since the business closed am I personally liable for this? If not, is it as easy as me filing something with the courts stating that the business is closed?

The plaintiff is seeking damages in excess of $10,000, so this is not a case to be heard in small claims court.

Attorney Answers 3


Probably not b/c of the entities' LLC status. Unless there is some way to pierce the protective veil, they would have a difficult time going after you personally. You should, however, check /w an experienced laywer in your area.

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A response should be filed otherwise you will be in default. The plaintiff's next step will be to be to get a judgment against you. You should certainly speak to a NV attorney.

John J. Clark is licensed to practice law in the State of Florida. This post is intended as general information only, and is not provided as legal advice in connection with any specific case, and does not create an attorney-client relationship.

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Although LLCs are designed to shield its members from liability, there are many instances in which members of an LLC may be held personally liable for injuries resulting from its operations.

Although the business has been closed, you have been named personally, and you will need to answer the complaint on your behalf within 20 days or the party suing you will be able to get a default judgment against you, or in other words, they automatically win and you will have to pay whatever damages the court awards to them.

Generally what I do for clients in this situation is answer the complaint and then file a motion for summary judgment explaining to the court that the LLC has been dissolved and that its members are not liable because of reasons X, Y, and Z. The contents of the motion are obviously more complicated than that, but that is the general idea.

You will need the help of an attorney to navigate these issues, especially if you plan on responding on behalf of the LLC. LLC's cannot answer complaint's on their own without counsel in Nevada.

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