If my paycheck bounced and my employer’s bank accounts are frozen, can I still receive my money since the company has closed?

UPDATED: Oct 1, 2022

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If my paycheck bounced and my employer’s bank accounts are frozen, can I still receive my money since the company has closed?

I work for a health services company. My paycheck bounced on the 25th and was told that the

office would be closed Friday and Monday and those would be paid days off. I reported to work today and was told they are closing the office. Can still get what is owed to me? I have a month of vacation and I’m owed 4 weeks of salary. The ADAMH board has taken over for the closing of the office.

Asked on April 30, 2019 under Employment Labor Law, Ohio


SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 3 years ago | Contributor

If the company was an LLC or corporation and it still exists (has not been dissolved, even if it has closed--and it should not be dissovled while there are outstanding debts), you can sue for your money, but if they don't have it in the corporate accounts (or those accounts are frozen, such as due to a court order), you will not get the money: you can only get money if there is any, and with an LLC or corporation, you can't sue the owners or officers--only the business itself. Therefore, if the business is insolvent, even though you a legal right to be paid, there is no way to get the money.
If the company was a sole proprietorship or a general partnership, you can sue the owners(s) personally, since in those cases, there is no separate legal entity: the owner(s) are essentially the company, and are liable for its debts.

IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although AttorneyPages.com has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.

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