Castillo v. Langeneckert

A-2937-97T5 (N.J. Super. App. Div. 1998) (Unpublished)
  • Opinion Date: November 16, 1998

CORPORATIONS; OFFICERS; LIABILITY—Absent fraud, injustice, or evasion of law, personal liability should not be imposed on an individual corporate shareholder.

A buyer purchased a used vehicle that turned out to be stolen. Unable to recover its purchase price, he sued a number of parties, including an officer of the automobile dealer. The evidence seemed to show that the purchase was made from the dealer’s salesperson who operated out of a separate building from that of the dealer’s officer. The payment check was made out to the dealer, but was deposited into the salesperson’s account and not into the account of the company or its officer. The buyer admitted that he never did any business with the company’s officer. Based upon that record, the Court refused to pierce the corporate veil and hold the dealer’s officer personally liable. Absent fraud, injustice, or evasion of the law, personal liability should not be imposed upon an individual shareholder.