How do I find out if a business owes money to WCB Alberta?
This answer covers the law of Alberta.
Before you close, it is worth asking about the seller's workers' compensation position, and how this applies depends on your situation, so it is worth confirming with a lawyer. Ask the seller for the account details and the exact registered business name, so that anything you receive matches the business you are buying. Make this a written condition in your purchase agreement so it is not left to the last minute.
Read any letter carefully once you have it. Check the business name matches the one you are buying, check the date the letter is current to, and ask what it does and does not cover. Any document you receive reflects a particular point in time and things can change before closing, so it is worth confirming with a lawyer whether to get an updated one near closing.
Whether unpaid premiums can become your problem after a sale depends on how the deal is structured, the wording of your agreement and the rules that apply to the business, so a lawyer can confirm your position. Ask about protection such as a holdback or an indemnity from the seller, and get any such terms in writing before you sign.
Key takeaways
- Whether unpaid workers' compensation premiums could affect you as the buyer depends on your situation, so it is worth confirming with a lawyer before you close.
- Check that the letter names the right business and note the date it is current to.
- Make the clearance letter a written condition of the purchase agreement so it is not left to the last minute.
- Whether unpaid amounts can affect you after a sale depends on the deal, so have a lawyer review it.