Calif. Court Refuses to Apply Illinois Law that Protects Dissolved Corporations

OAKLAND, Calif. –– A California trial court has rejected a dissolved corporation’s efforts to avoid liability under Illinois’ dissolved statutory laws, ruling that Illinois’ interest in protecting its corporations from liability does not outweigh California’s interest in providing a remedy for injured individuals. Morgan v. A.W. Chesterton Co., No. RG11608703 (Calif. Super. Ct., Alameda Cty).

In the June 29 ruling, the California Superior Court for Alameda County said that the defendant should have reasonably expected to be bound by California law since it conducted business in the state.

Defendant International Vermiculite Co. filed the demurrer to the complaint, contending …