Guy gets FUCKED (not sexual, business)
 

This dude has been in business for years and all of his stuff is tagged "All Material and Information is Owned by His Company, LLC | All Rights Reserved" - yada yada yada. Someone found out that he let his LLC go inactive 9 years ago. They registered the LLC and filed a lawsuit against him to turn over all of the "company's" assets. Pretty much everything, including the business bank account and all of the assets that were in the company name (car, house, boat, etc.) had to be turned over to the new owners. They spent $200 to file a LLC and now all of that guy's hard work is theirs.

Here's the REALLY fucked up part. They offer him a job working for them since he has the "most experience" in the industry. A yearly salary of $55k was offered. Talk about a fucking slap in the face. But it's his fault for not staying on top of his shit.

Well if he let llc inactive for so long then his material probably dont worth much anyway.

wow that really is fucked up. Even worse they offer the guy a job, lol.

How is it even possible to "run" any business when you do not even have to use your LLC for 9 years.

And how is even possible to have LLC inactive?Here such thing is not possible,it can be either open or closed,not inactive.

He was still operating his business as the LLC even though it was inactive. Shit, I still have old business bank accounts open for businesses I shut down years ago. The bank doesn't check to make sure I keep my LLC active or not. I could still be operating a business without filing my yearly reports or pay taxes, workers comp, insurance, etc.

Inactive and Active are the same as Open and Closed. Different verbiage, same meaning.

Well he should have set his office on fire and then sued the new owners for $10 Million for hostile and hazardous work environment.

:1orglaugh

So the taxman does not even contact you when you fail to fill any monthly/yearly report? :error

I am quite sure how i would be contacted by taxman if i would continue to do business on inactive llc bank account.

lol that can't be right, no way that would fly in court - unless he is in some sort of banana republic. He would have all sorts of evidence to prove that what they did was nothing but a scam.

Nope and where I live, and we don't have a state income tax. When a LLC goes inactive, I just call the department of revenue and tell them I'm not filing a report, I made no money, and to shut' er down.

You could, but that's ridiculously retarded.

It's hard to feel bad for someone that cares for their business so little that they don't pay their yearly (many states have bi-yearly) incorporation fees or file their taxes.

Yeah, I agree. Something doesn't smell right with this story.

But if your LLC would be active and you did not fill a report you would be contacted by taxman asking for the report?
My point is based on the above statement.
Like how is it possible that you think that your LLC is still active while you did not fill any reports or was not contacted by taxman for the 9 years?
Sure at some point you would think "oops, I forgot to fill yearly tax form". At least after 3, 5 or whole 9 years, lol.

That's the problem with keeping things "off the books" to avoid taxes or filing fees. There was no way for him to prove anything other than his word vs. theirs. As Sly said, it's hard to feel sorry for someone who doesn't play the game the way it's supposed to be played.

Oh well I thought he just operated things in a different company and just forgot to change the labels on some of his assets. Even so, sounds strange that he was not able to do anything about it and how did they even know what assets he had in that non-existing company?

Very strange.

i think its all bullshit but who knows. why would a new llc have any rights to an old llc's assets just because they have the same name? doesn't make sense.

sounds like something that would happen in pakistan, or texas, same difference.

:2 cents:

The only thing I could possibly think of is that he never dissolved the LLC properly, he simply quit reporting and filing - making the LLC inactive but NOT dissolved. If that's the case, if the LLC is filed for the same company name, it would just reactivate the LLC and they would assume anything that falls under the business name.

But there are holes in that theory. Wouldn't the new owners be responsible for all back taxes and filing fees for the past 9 years? If there were assets, I'm sure an investigation would be launched for several reasons. First and foremost, he broke the fucking law.

By statute in most states, the effect an LLC going inactive is dissolution. Assets of the LLC would simply revert back to owners personally. It would be easy to establish personal ownership in court. Only way dude loses is if he completely rolls over and gives it away - which is often the case with worthless crap.