I Won A Judgement Over A Limited Liability Business And She Shut Down. How Do I Proceed From There And Will I Ever See My Money Again?
Question – I won a judgement over a limited liability business and she shut down. How do I proceed from there and will I ever see my money again?
If your judgment is only against a limited liability company which has now ceased operations, you may not be able to collect. However, if the Company now has or had any assets such as inventory or equipment at the time it ceased operations, those are still owned by the Company and its Member is now a “Trustee in Liquidation” with the statutory duty to liquidate the assets and pay creditors such as yourself. If you believe that the Company has or had assets which have not been properly liquidated, you may be able to recover against those or her individually if improperly transferred. Although it has ceased operations, a judgment creditor still has the right under Virginia law to conduct certain discovery which would allow you to better determine the collectibility of the judgment.
Written By Kellam T. Parks
Kellam founded what is now Parks Zeigler, PLLC in 2012 to embrace modern technologies to best serve clients. This passion for technology led to the formation of the Cybersecurity/Data Privacy practice area making the firm a leader in helping businesses protect themselves and respond to incidents. When he’s not practicing law in this area and handling high-asset divorces, Kellam manages the firm with his co-owner, Brandon Zeigler, contributes to local and state-wide Bar associations, and frequently writes and speaks to audiences across a variety of sectors and geographic locations, including nationally on the topics of Cybersecurity/Data Privacy, digital evidence, law firm management, and technology/AI.
