Can I Sue a Business if it’s No Longer in Operation?

An accident is the last thing you expect when you go into a store, restaurant, or some other type of business. Yet, that’s exactly what happens to millions of people every year. Slip and falls, car accidents, and being hit with falling objects are just some of the mishaps you can suffer at a place of business. If your accident was due to the owner or staff’s negligence, you may be able to file a lawsuit in order to recover your losses. But what if the store is closed down, or the company is no longer in operation? You’re scared and wondering what your options are as you ask yourself, “Do I still have a case if the place I was injured in went out of business?”

We’ve worked with quite a few clients who have found themselves in this situation. Some clients blamed themselves, wondering why they didn’t file a claim right away. Certainly, this is the best course of action to ensuring that you meet the filing deadline and protect your right to monetary compensation. However, life is not always so simple, and recovering from an injury – mentally and physically – takes time. You couldn’t have anticipated that the store or company would close before you were well enough to take action.

Today, we’ll go over your right to sue a business that’s no longer in operation. While we can’t cover every issue related to this subject, here are some questions we will answer in this article:

• Can I still sue if the store I was injured in closed down?
• What if the company moved to another location? Do I have a case?
• Is there anyone else I can sue besides the business owner?

Our goal is provide honest and helpful information, but we cannot comment on the specifics in your case without speaking with you in person. For questions regarding your own accident, please call our office and speak to one of our lawyers.
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California’s Law on Suing a Company That’s Gone out of Business

Dissolving a company can protect it from certain legal actions, but not from personal injury lawsuits. As long as the victim files a claim within the statute of limitations, the business can still be sued for accidents that occurred on their property. Liability of the business is clearly explained in California’s Code of Civil Procedure:

“Causes of action against a dissolved corporation, whether arising before or after the dissolution of the corporation, may be enforced against any of the following: (A) Against the dissolved corporation, to the extent of its undistributed assets, including, without limitation, any insurance assets held by the corporation that may be available to satisfy claims.”

It’s also worth noting that company dissolutions can be complicated, and the business where you were injured may not be officially dissolved. So technically, the business still exists and you can go after them as if they were still operating. But it’s difficult for the average person to verify the dissolution of a company, not to mention, locate the business owners or partners. A lawyer experienced in lawsuits against closed businesses can obtain this information and take the necessary actions on your behalf.

So that’s the good news – even if the place where you were injured no longer operates, you can still file a claim for compensation. But what if the store or company moved to another location? Can you file a lawsuit, and if so, where do you file?

Suing a Business that’s Moved to Another Location

Even if a business is still open, they may have moved to an out-of-state location. If that’s the case, you may be confused about where you should file the lawsuit, or if you can file a lawsuit at all.

Let us assure you that you can definitely file a lawsuit, and do so in the state of California. It used to be that courts only had power over defendants that lived in or did business in their jurisdiction, i.e., city or state. But this has changed over time, and there are now circumstances where you can sue a business that’s moved out of state.

In a case where the plaintiff was injured at a former business site, lawsuits can be filed in the state where the incident occurred. You will still need to locate the defendant and serve them with the lawsuit, which can be challenging when the other party is in another state. There may be other legal procedures you’ll need to follow when suing someone out of state, so make sure to work with an attorney who can help you with these steps.

We know it’s frustrating when there are obstacles you didn’t anticipate, like a store or restaurant relocating before you can file a lawsuit. Please know there’s an end to this tunnel, and that we’re with you every step of the way. If you have any questions or concerns, contact our office and schedule a free consultation.

Is a Lawsuit Worth it?

Admittedly, the process of suing a dissolved business is more challenging than suing an operational company. Victims can become overwhelmed and wonder if it’s worth it to file a lawsuit.

Ultimately, only you can decide what’s right for you. But you should make an informed decision after speaking with an attorney. One thing that may be in your favor is the business’s commercial insurance policy. Most of these policies cover injury and property damage claims that happened while the business was operational. If so, you can file an injury claim directly with the insurance company. This is how we obtain the majority of settlements for clients who were injured in a business that closed after their accident.

Another possibility is going after the investors of the business. Referred to as “piercing the corporate veil,” this legal strategy is used to hold investors liable in a personal injury claim against the business. Normally, investors and the business they’re investing in are considered two separate entities. But that line of separation may be blurred if:

• The business funds and the funds of the individual investors are commingled.
• If the business was clearly underfunded, failed to follow corporate protocols, or showed other signs that the company was not a separate entity from its investors.

This is only a bare-bones description, as investor liability in personal injury claims is a very complex topic. Our lawyers can verify if your case meets the standards, and the legal process involved if you choose to go this route.

Overall, most accident victims have legal options, but it’s hard to know what they are without speaking to an experienced attorney. If you’ve been injured in any type of accident, please contact our office and schedule a free consultation.

Statute of Limitations

In California, you generally have two years from the date of your accident to file a lawsuit. That’s a fair amount of time for most victims to recover from their injuries and retain legal representation. But it’s best to take action as soon as you can if you’ve been harmed through someone else’s negligence.

Keep in mind that you may need to file an insurance claim and try to negotiate a settlement before you can file a lawsuit. Depending on the extent of your injuries and the amount of money you’re asking for, that process can 6 months to a year. Thus, it’s in your best interest to talk to a lawyer right away and start taking the necessary steps against the responsible party.

To learn more about California’s statute of limitations, including circumstances where an extension may be granted, contact our office and talk to one our attorneys.

Common Accidents in Places of Business

There’s no shortage of ways that you can be injured at a business, but some accidents occur more frequently than others. Here are the most common retail / business accidents that we see at our law firm:

• Slip and falls

Statistically, this is the most common accident that can occur on business premises, especially in markets and restaurants. But slip and falls can happen anywhere and for many reasons, including spilled products, water leaks, slippery tiles, and greasy floors. Slip and falls are responsible for more than 8 million ER visits per year as they often result in extremely serious injuries. Please get medical assistance right away if you’ve been injured in a slip and fall.

• Trip and falls

After slip and falls, this is the accident customers and visitors are most likely to suffer from. Trips and falls can be caused by many things, like exposed wiring, uneven flooring, broken pavement, poor lighting, and lack of cleaning and maintenance. Trip and falls result in many of the same injuries as slip and falls, so you should get medical attention right away.

• Falling objects

Retailers, offices, and restaurants must secure elevated objects to the ceiling, wall, roof, or any other surface they’re hanging from. Additionally, they must check on these objects regularly and make sure there is no chance of them falling off. This is particularly important for heavy objects, like ceiling fans, light fixtures, and outdoor signs.

• Assault and battery

A business may be liable for a physical assault on their premises if there was a lack of security, poor lighting, or some other breach of duty to ensure the safety of their visitors. Guests and customers can only be assaulted by an employee, which the business may be liable for if the incident occurred while the employee was acting within the scope of their job duties.

• Food poisoning

Food poisoning typically occurs at restaurants and supermarkets, and serious cases can result in death. Pregnant women, children under 5, the elderly, and those with compromised immune systems are especially vulnerable to the effects of food poisoning. In a food poisoning case, you need to prove who is responsible for the food contamination, which could be the restaurant, the manufacturer, or the distributor. A personal injury lawyer can advise you on your rights and help you decide on the best course of legal action.

• Parking lot accidents

There are many accidents that can occur on a store or company’s parking lot. Whether you’re a motorist, pedestrian, or a bike rider, a parking lot accident can result in severe injuries, including death. Parking lots can also cause slip and falls or trip and falls if they are not properly maintained (for ex, snow and ice, exposed rebar, worn / inadequate traffic signs).

• Sexual assault

Lack of security, broken locks, and other safety violations can lead to sexual assaults on the premises of a store or other type of business. Aside from bodily injury, a sexual assault is incredibly damaging to a persons’ mental state. Victims often need long-term counseling to deal with conditions like PTSD, anxiety, and depression.

• Dog / animal bite

It’s not unusual these days to walk into a business and be greeted by a dog, cat, or some other animal. But if one of these animals bites a customer or visitor, the owner is responsible, even if their pet had no previous history of aggression.

Even if your injury seem minor, it’s best to see a doctor right away to receive treatment and make sure there’s no underlying damage. Once you’ve seen a doctor, give us a call and speak to a personal injury lawyer about your legal options.

Compensation for Your Injuries

As an accident victim, there are various damages you can recover in a lawsuit against the business. The types of compensation you can request depend on your losses, but here are some of the most common damages we request on behalf of our clients:

• Medical bills
• Lost wages
• Pain and suffering
• Property damage
• Legal fees
• Punitive damages

If your family member or loved one died from their accident at a place of business, you may be able claim wrongful death compensation. A lawsuit for wrongful death can include the following:

• Funeral or burial costs
• Medical bills up to the date of your loved one’s passing
• Loss of expected income or benefits
• Loss of consortium
• Legal fees
• Pain and suffering

Some of these damages may be unfamiliar to you, so don’t hesitate to call us if you have questions. Our lawyers will be happy to discuss your case and help you decide on the right course of action for your needs.

The Accident Injury Lawyers of Normandie

Knowing what you’re entitled to and receiving it are two different things, and that statement is certainly true when it comes to injury compensation. Some victims have to fight harder than others, and that may be the case if the business you were injured in has closed or moved to another location. You may feel like giving up, but please take the chance of reaching out to one of our attorneys.

If the cost of legal fees is holding you back, we want to assure you that you will never pay upfront for our services. Under our Zero fee guarantee, the only way we get paid is if you get paid. So if we don’t win your case, we eat the costs no matter how much work was involved in your case.

Our Zero fee guarantee is also there for you if you’re thinking about changing lawyers. In that case, we would love to speak with you during a free second opinion, where you can air out your concerns and get answers to important questions, like:

• My lawyer takes so long to get back to me. Is this a bad sign?
• My law firm is pressuring me to settle. Are they right?
• I feel like my lawyer isn’t working on my case at all! Am I overreacting?

These are all serious issues that may necessitate changing lawyers, even if you’re in the middle of a lawsuit. But you want to be sure about this very important decision, so please schedule a free second opinion if these questions are on your mind.

Whether you were injured at a market, restaurant, or office building, our lawyers will fight for your rights and bring you the compensation you deserve. Call Normandie Law Firm and schedule a free consultation or free second opinion.

Other Pages on Our Website Related to This Topic
How Much Time does it take to Settle against a Grocery Store?
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