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  #1  
Old 10-02-2007, 01:01 PM
rd3500 rd3500 is offline
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Default how long are you responsible after you close an Inc?

I shut down an Inc corporation december last year 2006. I received a letter from the attorney general a few weeks ago telling me that I double charged a customer in July 2006 and they wanted their money back.

I don't understand why they did not call the credit card company, there was money in the account until I closed the company, after that I shut everything down, paid taxes and I was done with it.

Do they still have any right over a corporation? Can somebody ask money back more than a year after the fact?

Thanks..
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  #2  
Old 10-02-2007, 03:04 PM
BillR BillR is offline
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If this is a small sum of money I'd just pay it.

If it's a larger sum I'd contact a lawyer. If the company has legally been dissolved the legal issues may get complex in a hurry. Also, the AG could investigate you for fraud.

Also, I'd check your transaction records and determine if you actually did double charge this person.
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  #3  
Old 10-02-2007, 03:14 PM
rd3500 rd3500 is offline
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I did double charge and also paid taxes on it. Sum is about $1000. Since then I closed the company and moved out of the country but still want to know what I should do about it.

What bothers me is that they had plenty of time, that everything has been shut down, accounts closed, money gone, taxes paid, even on that charge. If they called the credit card company before the end of the year, it would have been solved.

The attorney general is the one that sent me the letter (consumer protection)and I talked with them today. They understand it was a mistake, I asked what my options are and she could not tell me. So that's were we are.

Thanks for your answer by the way.
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  #4  
Old 10-03-2007, 12:44 AM
rd3500 rd3500 is offline
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Default by the way

I was thinking, I don't really know if I double charge the person. It could be the charge was split in two, we did it some times on larger amounts if it was not going through the total, then we would split it in two.

I would need to go back to the order that they places and I don't have easy access to that data, I don't even know if I still have the data. It would be like if you go to Wal-mart a year later asking for a refund because of what you think was a mistake a year before.

And given that the waited that long, it would take so much work to try to double check what happened, plus I would need to re-do my taxes. And all that is because they waited this long. If I charge them for the time it would take me to research this and the accountant to re-do the taxes, it would be a wash.

If somebody knows what the law says in terms the company's obligations once the business is closed. This is really bothering me.
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  #5  
Old 10-03-2007, 01:00 AM
SteveC SteveC is offline
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Just tell them you didn't charge and that you suspect the order was split in two... and ask the AG to provide documentary evidence that you double charged and that upon receipt of said documentation you will invistigate the matter fully.

The chances are you will get no documentation or proof after such an amount of time... and if you do you can check it out properly.
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  #6  
Old 10-05-2007, 08:13 AM
rd3500 rd3500 is offline
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they do have a copy of the order (which does not prevent another order to exist although chances are very small).

After you close a business, for how long are you responsible? I am sure there is a certain amount of time, otherwise people could just open and close businesses and just take the money. Anybody knows?
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  #7  
Old 10-05-2007, 09:39 AM
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OldJack OldJack is offline
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A corporation is a state statute entity and your question could be best answered by reading the state statute. However, most states has a procedure of form filings to legally end a corporation and as such within a short period after filing those forms the public can no longer file suit or claims against the corporation or its owners.

Just stopping business and closing bank accounts does not legally end a corporation and relief the owners of shareholder responsibility. However, this claim appears to be against the corporation and not the shareholder, therefore if the corporation has no assets they would have a hard time claiming against a shareholder. Your choice appears to be to ignore the letter or assume responsibility and pay-up.
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  #8  
Old 10-05-2007, 05:43 PM
wcnones wcnones is offline
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If you dissolved the corp legally and in complaince with the state laws in which you did business, you may have accepted responsibility for any claims against the corporation (you'd have to check the state statues).

Assuming the dissolution of the corp didn't trigger any transfer of liability from the corp to you, and assuming you never "pierced the corporate veil" by abusing the state/federal corp statues (ie fraud, improper capitalization, personal guarantees, etc), you are not liable for anything. The tricky part is finding out if you transfered liability from it to you.

Also consider that the AG sent a letter, but no judge has made a ruling on the evidence. If it doesn't cost you much to go to court, wait for the customer to file a claim in small claims and then defend yourself. Just come prepared. The AG can't really do much until a judge has ruled you liable for the double charge.
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  #9  
Old 10-08-2007, 02:17 PM
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Streetracer Streetracer is offline
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Quote:
Originally Posted by rd3500
It would be like if you go to Wal-mart a year later asking for a refund because of what you think was a mistake a year before.
If it were mail order, I would expect Wal-Mart to have records showing what was charged and what was shipped. I would also expect them to still be in business, so it's not really an apt comparison. I think Wal-Mart also has a better legal team than you so this comparison is looking worse and worse all the time.
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  #10  
Old 10-09-2007, 08:29 AM
Comtrad Comtrad is offline
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Quote:
Originally Posted by Streetracer
If it were mail order, I would expect Wal-Mart to have records showing what was charged and what was shipped. I would also expect them to still be in business, so it's not really an apt comparison. I think Wal-Mart also has a better legal team than you so this comparison is looking worse and worse all the time.
It was a metaphore...


You should have records still of the order and what you charged. If you show one thing and they show another, I think you are responsible to pay that. $1000 isn't much compared to how much it could cost you if you decide to fight it.
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