Legal Question in Employment Law in California

Wage claim against corporation going out of business

I filed a wage claim last october (2006) against a business that supposedly is ending in the near future. The court hearing has not been set, but should be sometime in march 2007. If this corp goes out of business beforehand, is my claim null and void? If so, how would I go about putting a lean aganst the business?


Asked on 1/29/07, 11:12 pm

1 Answer from Attorneys
Michael Kirschbaum Law Offices of Michael R. Kirschbaum

Re: Wage claim against corporation going out of business

You should still go ahead with the hearing. You cannot obtain a lien unless you get a judgment first. Right now, it looks like the quickest way toward obtaining the judgment is by trying to get an award from the Labor Commissioner.

If the company is truly going out of business, you may end up with a piece of paper saying they owe you money and no way to collect it. If you believe they are closing down, it may be better to compromise your claim and try to settle it for anything you can get. Better something than nothing at all.

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Answered on 2/06/07, 4:37 pm


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