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I know how worrisome this can be...and really, you probably don't have much reason to be concerned...and I'd almost bet that by the time you read this, the employer will have explained your situation.
Generally, as soon as a Co files BK all assets, (that means bank accounts) are frozen. Even checks in the process of clearing are returned.
However, payroll takes a very special place in society and BK. Normally, within a day or two of filing...the Co will receive approval from the court...(called "first day orders" - guess why)...that permits them to set up new accounts, pay certain things...Payroll being the main one, and taxes, things needed to keep the business going while it either reorganizes or whatever.
(Now if your Co is really small...the local yard service...and there is really nothing at all left...clearly they may not even be able to do this...but in most normal BKs of a business...there are assets). Payroll is given one of the highest priorities of payment of any creditor....so if in the case of the small Co given, any assets (I guess yard equipment, payments from customers, etc.), are used to pay it first, before other creditors. In a larger one, normally a lender steps in to provide funds to at least resolve things while the Co is dissolved (or reorganized) in an orderly fashion.
Yes, there may be limits on the amount of payroll your allowed...but that limit is normally fairly high...to prevent only the very highly paid from getting all the assets as back pay.
Really, your probably just fine...back pay is normally handled within like a week...believe it or not...the courts and people involved in these things actually seem to care about the workers getting by.
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∙ 16y ago
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What are some of the bankruptcy laws when it comes to not notifying my current employer about my bankruptcy filing?
There is no law that requires you to notify your employer that you have filed bankruptcy. It is a public record, though, so it will show up on a background check.
How do you add a creditor to a bankruptcy after you have filed?
Check with your bankruptcy lawyer.
You filed bankruptcy does your employer need to respond to an garnishment request?
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How do you check on a bankruptcy filing that isn't owned by you?
If you have been filed for a fake bankruptcy, then you can sue the claming party.
If your employer filed for bankruptcy but owes you 15000 in back wages how can you collect?
You certainly need to make a claim against the employer to insure that you get as much of the amount as you can. Consult an attorney for help.
Can you filed chapter 7 with an temporary work?
Yes, you can, but be sure to check with a bankruptcy lawyer.
How do you go about renting a house if you just filed bankruptcy?
you just have to check around because not everyone does a background check!
HAS kaiser permanente ever FILED bankruptcy?
do you know if kaiser permanente filed bankruptcy?
Has the state of Michigan ever filed for bankruptcy?
No. No state has ever filed for bankruptcy. States are not coverd by current U.S. bankruptcy laws.
List all NBA players who filed Bankruptcy?
Tracy McGrady filed for bankruptcy in January of 2014
If you have a workers compensation case but your uninsured employer has filed for bankruptcy what should you do?
In California and other states, a portion of worker's comp premiums paid by employers go into the Uninsured Employer's Fund. This fund pays for treatment and compensation of injury victims when the employer is illegally uninsured. Check with your state's labor department or worker's comp board to see if such a fund exists in your state.
Your employer is filing bankruptcy can they file your last paycheck on it?
check with your state's dept of labor...augusta, ga
