Legal Question in Bankruptcy in California

Employer Chapter 7 and obligations to employees

My employer, an educational institution, recently filed Chapter 7 Bankruptcy proceedings. I am owed for three weeks of teaching - two of the paychecks were never received, one was received but returned by the bank for insufficient funds.

We have been given contact information for a trustee, but I'm not sure what I can do (or should do) to proceed. Will I be able to get some, or all, of my pay? What about the bounced paycheck?

Thank you for any pointers, tips, etc.


Asked on 1/29/01, 8:25 pm

1 Answer from Attorneys
Mark Markus Law Office of Mark J. Markus

Re: Employer Chapter 7 and obligations to employees

If there are assets available to liquidate for payment to creditors, you will be notified and should then file a proof of claim with the court. Up to $4,300 of your wages earned within 90 days prior to the bankruptcy filing will have a somewhat higher priority for payment than general unsecured creditors.

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Answered on 3/15/01, 12:38 pm


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