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Alter Ego

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Hacker v. Fabe (2023) 92 Cal.App.5th 1267, 310 Cal.Rptr.3d 192

This decision affirms an order amending a judgment to name an individual as an alter ego of the corporate defendant.  There was evidence to support the trial court's finding that inequity would otherwise result.  The judgment creditors had been unable to satisfy their judgments/  The individual had been CEO and owner of the corporation until judgment was entered against it. … Read More

Cam-Carson, LLC v. Carson Reclamation Auth., No. B312729, 2022 Cal. App. LEXIS 721 (Ct. App. Aug. 23, 2022)

The alter ego doctrine can be applied to municipal corporations if the factors allowing the doctrine's application to private corporations are satisfied.  Here, plaintiff alleged sufficient facts to show it would be inequitable to recognize the Reclamation Authority's separate existence since that City formed the Authority specifically to avoid liability for remedying the environmental pollution on the site the City… Read More

Lopez v. Escamilla, 48 Cal. App. 5th 763, 262 Cal. Rptr. 3d 152 (2020)

Plaintiff recovered a $157,000 judgment against defendant's corporation, then brought this independent suit against defendant claiming he was the corporation's alter ego and liable for the judgment against it.  On the first appeal from judgment on the pleadings against plaintiff, the court held that a plaintiff may pursue an independent action against the alter ego based on the judgment against… Read More

Pacific Gulf Shipping Co. v. Vigorous Shipping & Trading S.A. (9th Cir. 2021)

Plaintiff obtained an arbitration award against Adamstos which it sought to collect from Vigorous and Blue Wall as successor corporations or alter egos of Vigorous.  Since the claim arose in admiralty, the court applied federal common law.  Summary judgment was affirmed.  Plaintiff failed to allege that Vigorous or Blue Wall received a transfer of all or substantially all Vigorous' assets… Read More

Kao v. Joy Holliday (2020)

Substantial evidence supported the trial court's finding that the husband and wife who owned and managed the defendant corporation were alter egos of the corporation and liable for the corporation's Labor Code violations in a suit brought by a former employee.  The evidence showed that the corporation had paid some of the couple's personal debts and that the couple had… Read More