Corporate Owner And Officer Liability For Wrongful Acts

Law360, New York (June 23, 2010, 12:35 PM EDT) -- We are often asked whether the owner, officer or director of a corporation is responsible for the acts of the corporate entity with respect to employment claims. Barring a claim that the owner is the “alter ego” of the corporation, usually the individuals who own and operate companies are not individually liable for employment-related claims.

There are notable exceptions, however, in two major areas of law: wage-and-hour claims and sexual and other harassment claims.

Expansion of Individual Liability for Unpaid Wages

Recent court decisions suggest an...
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