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Participation in One’s Own Business, Even If the Business Generates No Income, Can Render One Ineligible for Unemployment Benefits

The Third Department determined claimant’s participation in his own business, even if minimal and the business is not profitable, supports the denial of unemployment benefits:

“A claimant who actively participates in his or her own business will not necessarily be considered totally unemployed even if his or her activities are minimal and the business is not profitable” … . Here, on behalf of the corporation, claimant obtained a credit card and opened a bank account with an initial deposit of $25,000. He wrote checks against the account for office furniture, charged travel expenses and solicited business. Although claimant did not receive any income through the corporation during the time he was collecting benefits, he intended to make money with it, and the record reflects that the corporation was still operating after claimant stopped collecting benefits and it ultimately generated income. Matter of McCann v Commissioner of Labor, 2014 NY Slip Op 03568, 3rd Dept 5-15-14

 

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