Legal Question in Employment Law in California

No paycheck after termination.

I was terminated from a company I worked for in November of '98. I filed a claim with the labor commisioner a hearing was conducted and I was awarded a judgement of just under $11,000. One problem though, the company won't pay up. They(Acme Corp) are headquartered in Indiana and I have just found out that they filed for bankruptcy(Ch. 11) in January. The Labor Commisioner and the Franchise Tax Board couldn't squeeze any money out of Acme...if they even tried that is. I sure can't. And now I get a letter from the Labor Commisioner reassigning my case to me. If the California Municipal Court, the California Labor Commisioner, and the California Franchise Tax Board, working together, with all their resources, can't do their jobs, how do they figure I can? Any legal replies would be greatly appreciated as I have 15 days to respond, make that 10 days to respond.


Asked on 7/10/00, 12:18 pm

1 Answer from Attorneys
Paul Crost Reich, Adell, Crost & Cvitan

Re: No paycheck after termination.

Because the company is in bankruptcy, your only recourse is to file a claim in the bankruptcy court as a creditor. If there is a distribution of assets, you may get something. Otherwise the claim will probably terminate at the conclusion of the bankruptcy proceedings.

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Answered on 9/07/00, 9:47 pm


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