CWM wins $537,000 judgment under successor liability theory

CWM attorneys Ryan Snow and David Hartnett won a $537,000 judgment after trial in Chesterfield Circuit Court against two companies in a case of successor liability.  The defendant companies had acquired the assets of a construction company against which CWM already obtained judgment.  Mr. Snow and Mr. Hartnett successfully proved that the purpose of the transactions was to hide the assets of the former company, making it judgment-proof, and continue the business under new names.  The Court found the new companies a “mere continuation” of the old one and pierced corporate formalities to hold them liable for the debt.