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We are a small privately held company (corporation) that has been sued by one of our former subcontractors. We terminated his contract due to insubordination (including death threats to company owners, drinking on the job, failure to appear for work). The termination occured 6 months ago. We were served a summons for small caims court today and she is seeking $6,500 for wrongful termination. My first question is...her contract was between her and the corporation. However, she named a corporation shareholder (not the corporation itself) as the defendant. How can the lawsuit be ammended to list the corporation as the defendant, not a shareholder? Second question...how is such a case proven/disproven? There are no witnesses. We have documentation of her insubordinate behavior. However, it's really just her word against ours.
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jlutnik@aol.com wrote:
We are a small privately held company (corporation) that has been sued by one of our former subcontractors. We terminated his contract due to insubordination (including death threats to company owners, drinking on the job, failure to appear for work). The termination occured 6 months ago. We were served a summons for small caims court today and she is seeking $6,500 for wrongful termination.
Did you have a written contract? What did it say about termination? Written, what were the other terms? Normally, unless there is a contract stating otherwise, a contractor can be terminated without cause upon reasonable notice.
My first question is...her contract was between her and the corporation. However, she named a corporation shareholder (not the corporation itself) as the defendant. How can the lawsuit be ammended to list the corporation as the defendant, not a shareholder?
Normally the person named would file a demurrer claiming the wrong defendant was sued. I don't know about procedures in your state, but he should be able to do the same thing in small claims simply by showing up and establishing that the true defendant is a corporation. One potential glitch I am not aware of: normally a corporate employee is responsible for his own torts, even if performed in the course and scope of his employment. I don't know if that would apply to wrongful termination.
Second question...how is such a case proven/disproven? There are no witnesses. We have documentation of her insubordinate behavior. However, it's really just her word against ours.
If your documents were created at the time of her behavior, they should be adequate, along with testimony of of those who were witnesses to some of this. But again, it is likely not to be wrongful termination in any case. Stu
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In article <8lp4v3hheqdq7i5nmfsqi7mvdp2pnrsum5@4ax.com>, <jlutnik@aol.com> wrote:
We are a small privately held company (corporation) that has been sued by one of our former subcontractors. We terminated his contract due to insubordination (including death threats to company owners, drinking on the job, failure to appear for work). The termination occured 6 months ago. We were served a summons for small caims court today and she is seeking $6,500 for wrongful termination. My first question is...her contract was between her and the corporation. However, she named a corporation shareholder (not the corporation itself) as the defendant. How can the lawsuit be ammended to list the corporation as the defendant, not a shareholder?
You don't _want_ it amended! You want it *dismissed*. <grin> The shareholder simply goes to court and requests 'summary judgement' in defendant's (the shareholder) favor. On the basis that the named party, _personally_, had no relationship -- let alone any contractual one that could be 'wrongfully terminated -- to the plaintiff. *IF* plaintiff chooses to pursue the matter further, plaintiff will have to _re-file_ from scratch, against the _PROPER_ defendant(s). There is no reason that a defendant, or anyone related thereunto, should do anything to make plaintiff's case easier for plaintiff. <grin>
Second question...how is such a case proven/disproven? There are no witnesses. We have documentation of her insubordinate behavior. However, it's really just her word against ours.
The legal standard is "a preponderance of the evidence". This may come down to 'whom' the judge decides is more believable on 'we said/they said' matters. _Written_ records, generated _at_the_time_ of the events, and that can be shown to have been made at that time, are =generally= more persuasive than unsupported testimony -- *unless* the opposite party can make a persuasive case that the the records were made _for_the_express_purpose_ of providing a phony 'justification' for an already-decided-upon action.
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On Apr 1, 11:45 am, jlut...@aol.com wrote:
We are a small privately held company (corporation) that has been sued
Do you have insurance to cover this? If so, let them handle it and it won't be a distraction from your business. If not, oops. Every business that hires people, of whatever size, should have a comprehensive insurance package that protects you against discriminationn and wrongful termination suits, business interruption, professional malpractice (if applicable), directors' and officers' errors & omissions liability, general tort liability (trip and fall, auto crashes while on company business) and whatever else your insurance agent convinces you is needed. Too late for this one, but update your coverage before the next bad event happens.
My first question is...her contract was between her and the corporation. However, she named a corporation shareholder (not the corporation itself) as the defendant.
If she claims that individual was directly involved in the wrongful acts that harmed her, she can sue him for it. One is always liable for one's own torts and the corporate shell provides no protection from that.
How can the lawsuit be ammended
You don't want to amend it, you want to _dismiss_ it. If you have insurance, htey will hire you a lawyer. If not, your company had better hire itself a lawyer (and one for the individual defendant too; I can't tell from your limited factual scenario whether the same lawyer can do both or whether you would need separate counsel) before your company does something stupid and shoots itself in the foot.
to list the corporation as the defendant, not a shareholder?
Both are potential defendants and apparently both were named. If you want to get the individual dismissed, your lawyer will have to come up with reasons why it was not proper to sue him. Your post doesn't reveal any..
Second question...how is such a case proven/disproven?
By evidence (testimony or documentation) tending to make it more likely than not that the state of affairs the plaintiff alleged in her complaint is in fact true, and applying that evidence to the required elements of whatever causes of action the plaintiff has alleged to see if she has come forth with legally sufficient evidence on all the legally required elements of her claim so as to be allowed to take her claim to the jury. If her case survives that far, and is not dismissed or summarily disposed of by the judge for failing to do that as to one or more elements, the jury then decides whether to believe her evidence, or to believe your company's. They decide who wins, and by how much. Your company needs a lawyer. Good luck, -- This posting is for discussion purposes, not professional advice. Anything you post on this Newsgroup is public information. I am not your lawyer, and you are not my client in any specific legal matter. For confidential professional advice, consult your own lawyer in a private communication. Mike Jacobs LAW OFFICE OF W. MICHAEL JACOBS 10440 Little Patuxent Pkwy #300 Columbia, MD 21044 (tel) 410-740-5685 (fax) 410-740-4300
There are no witnesses. We have documentation of her insubordinate behavior. However, it's really just her word against ours.
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In article <8lp4v3hheqdq7i5nmfsqi7mvdp2pnrsum5@4ax.com>, jlutnik@aol.com wrote:
We are a small privately held company (corporation) that has been sued by one of our former subcontractors. We terminated his contract due to insubordination (including death threats to company owners, drinking on the job, failure to appear for work). The termination occured 6 months ago. We were served a summons for small caims court today and she is seeking $6,500 for wrongful termination. My first question is...her contract was between her and the corporation. However, she named a corporation shareholder (not the corporation itself) as the defendant. How can the lawsuit be ammended to list the corporation as the defendant, not a shareholder?
I am not sure that it can be ammended without concent of the former contractor. The law of the land is that anyone can sue anyone else at any time for anything. The question is if the suit against the shareholder has any merit and if it will prevail. When you get to court, tell the judge that the shareholder was not involved and is not party to the actions that you are being sued over. If the judge agrees, the judge will dismiss the suit between the contractor and the shareholder.
Second question...how is such a case proven/disproven? There are no witnesses. We have documentation of her insubordinate behavior. However, it's really just her word against ours.
Small claims court is very informal compared to a trial. You simply show up, present all your evidence, tell your story, and let the judge decide. Be well organized, leave out anything that is not core to the actions in question, and be respectful. That will take you a long way. In your case, you must have had a contract with this person, and it likely had a 30 day escape. In that case, 30 days is your biggest downside exposure. Few contracts specify a minimum number of hours per day. As a result, you could have simply extended this person for 30 days at 0 hours per day. Offer that as your remedy if you did indeed terminate this person early. Most contracts also have something in it about doing the work in a professional and workman like manner. If that is the case, you can argue that the death threats violated this clause, and as a result, the subcontractor breeched the agreement, so the contact was ended at that point in time. -john- -- ====================================================================== John A. Weeks III 612-720-2854 john@johnweeks.com Newave Communications http://www.johnweeks.com ======================================================================
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jlutnik, ....
We are a small privately held company (corporation) that has been sued by one of our former subcontractors. We terminated his contract due to insubordination (including death threats to company owners, drinking on the job, failure to appear for work). The termination occured 6 months ago. We were served a summons for small caims court today and she is seeking $6,500 for wrongful termination. My first question is...her contract was between her and the corporation. However, she named a corporation shareholder (not the corporation itself) as the defendant. How can the lawsuit be ammended to list the corporation as the defendant, not a shareholder?
You can't amend her lawsuit in this fashion and you should not mention this to her. Go into court ptepared toshowthat she is suing the wrong party. If you are correct she'll need to refile her case.
Second question...how is such a case proven/disproven? There are no witnesses. We have documentation of her insubordinate behavior. However, it's really just her word against ours.
She's suing, so it's up to her to prove her case. You'll be provided with a brief summary of her case. You should bring copies of contracts, letters or other proof of your complaints to her, anything connected with this person's business with your company. If she had a contact person with the business he should attend and advise you. Remember though that once you open an issue like "she drank on the job" you'll need to prove it and show why it was unacceptable. Good luck, Dave M.
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On Apr 1, 12:45 pm, jlut...@aol.com wrote:
My first question is...her contract was between her and the corporation. However, she named a corporation shareholder (not the corporation itself) as the defendant. How can the lawsuit be ammended to list the corporation as the defendant, not a shareholder? Second question...how is such a case proven/disproven? There are no witnesses. We have documentation of her insubordinate behavior. However, it's really just her word against ours.
Both questions are questions that you should be asking an attorney to answer. You are going to have to make a business decision. Do you want to spend your time and efforts on representing your business and yourself in court (assuming that your jurisdiction allows for this) and let your business suffer or do you hire an attorney and let them represent you while you manage the business? Either way your going to be spending money on this. Mike Boersma
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On Apr 1, 12:45 pm, jlut...@aol.com wrote:
My first question is...her contract was between her and the corporation. However, she named a corporation shareholder (not the corporation itself) as the defendant. How can the lawsuit be ammended to list the corporation as the defendant, not a shareholder? Second question...how is such a case proven/disproven? There are no witnesses. We have documentation of her insubordinate behavior. However, it's really just her word against ours.
You may want to consult an attorney although of course you probably can't bring counsel into the small claims courtroom. The plaintiff does have to prove her case, whatever it may be.
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On Apr 4, 7:40 am, Timothy <Timothy.Horri...@alumni.usc.edu> wrote:
You may want to consult an attorney although of course you probably can't bring counsel into the small claims courtroom. The plaintiff does have to prove her case, whatever it may be.
Lest readers think that the prohibition on attorney participation in small claims cases is universal, I should note that this is not the rule in all states. MD, for instance, has no such prohibition; in fact, the general rule is that corporations _must_ be represented by an attorney, although in small claims they _may_ (as an exception) be represented by an officer, director or managing agent. In my original reply on this thread I overlooked the part of OP's post that mentioned this was brought in small claims for only $6500. While everything else I said last time still holds, OP may want to weigh the certain cost of hiring a lawyer to defend both the company and the individual defendant, vs. the relatively small amount of damages claimed by plaintiff. I'm not counting the time and aggravation factor of taking productive employees away from taking care of business so they can read up on the law, gather their documentation, prepare their testimony in advance, and actually appear in court, since they would have to do that anyway (except for the read up on the law part) even if a lawyer were representing them. One final point - if, at your trial, you get the feeling the judge agrees with you that plaintiff's claim is groundless and frivolous and that she is a nut case (he won't actually say that, but you will get the drift) don't be afraid to ask for sanctions, in whatever form your court allows, for having to defend a frivolous lawsuit -- trouble is, the usual form of sanction is an award of attorney fees, and if you defend yourself, you don't have any. Good luck, -- This posting is for discussion purposes, not professional advice. Anything you post on this Newsgroup is public information. I am not your lawyer, and you are not my client in any specific legal matter. For confidential professional advice, consult your own lawyer in a private communication. Mike Jacobs LAW OFFICE OF W. MICHAEL JACOBS 10440 Little Patuxent Pkwy #300 Columbia, MD 21044 (tel) 410-740-5685 (fax) 410-740-4300
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On Fri, 04 Apr 2008 07:40:01 -0400, "John A. Weeks III" <john@johnweeks.com> wrote:
Small claims court is very informal compared to a trial. You simply show up, present all your evidence, tell your story, and let the judge decide.
That's what most people do, but don't many/most/all small claims courts give all parties the means to subpoena witnesses and documents, if they avail themselves of it at a time sufficiently in advance of the trial??
Be well organized, leave out anything that is not core to the actions in question, and be respectful. That will take you a long way.
The OP wrote
Second question...how is such a case proven/disproven? There are no witnesses. We have documentation of her insubordinate behavior. However, it's really just her word against ours.
Of course there are witnesses. You must mean there are no disinterested witnesses. But everyone who was there is a witness to some or all of it. Including the subcontractor of course, and anyone from your company was there and not sleeping when any of this happened. If you are inclined to email me for some reason, remove NOPSAM :-)
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