Can A Workers Comp Claim Hurt the Sale of My Business?
Question: One of my techs injured himself and is out on workers’ compensation and I don’t think the guy is coming back to work. My concern is that this could impact the sale of my business.
Answer: In the sale of a business, the seller will typically be asked to disclose whether any employees are out on workers compensation or any other form of leave. How that information will impact the buyer’s decision to proceed is of course up to the buyer. However, since workers’ comp injuries are insured, a potential buyer might not be concerned. If there is reason to believe the employee won’t be able to return, it might be a good idea anyway to have a conversation with the comp carrier about further handling of the comp case.
This response is intended for general informational purposes only and should not be construed as legal advice or a legal opinion, nor is this column a substitute for formal legal assistance. For help with particular legal needs, members are invited to consult with ACCA’s LegalTools Counsel, Brooke Duncan III of Adams and Reese LLP. Mr. Duncan can be reached at 504-585-0220 or by email at firstname.lastname@example.org.
- Can A Workers Comp Claim Hurt the Sale of My Business? - June 11, 2021
- Paying Employees For Time Spent on Social Media - May 7, 2021
- How Am I Supposed to Handle Compensation for Travel Time? - March 16, 2021
BECOME AN ACCA MEMBER