Legal Question in Business Law in Pennsylvania

Non-pyment of wages earned

I worked for a restaurant for app. 6 months. They went out of business very abruptly due to poor management.(The owners have agambling problem and were taking the money from the business to go to Atlantic City and to buy lottery tickets---100's of dollars worth at a time.) They did not pay us our last week of wages and when asked, do not plan to. They have not payed in to unemployment for the majority of us so most cannot collect unemployment compensation. How can we get our wages and what they owe to us. They have put the restaurant up for sale and it seems like it will sell quickly. Can we put a lein against them? Thank you


Asked on 4/17/01, 7:04 pm

2 Answers from Attorneys
Matthew Nahrgang Nahrgang & Associates, P.C.

Re: Non-pyment of wages earned

While a lawsuit may help you, the new entity will likely have no liability for the old debt. Moreover, depending on the amount owed to you, the attorney's fees could be prohibitive. Finally, contacting the attorney general's office will not yield any funds for you and will probably not even generate an investigation. The liability that was incurred is not personally owed by the owners, unless the business was not incorporated. Had they paid you and not their taxes, the government would care.

What you can do, or at least suggest you will do, is pursue an involuntary bankruptcy. That can be achieved much quicker than a lawsuit which is defended. Also, the threat of that alone may be sufficient to generate at least partial funds.

Feel free to contact me to discuss this further.

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Answered on 6/13/01, 9:12 am
Gerald Hershenson Law Office of Gerald M. Hershenson

Re: Non-pyment of wages earned

I suggest you file a lawsuit immediately. You can notify the Pennsylvania Attorney General's office or the District Attorney's office for assistence. You can collect with penalties. Suggest you move quickly. Consult an attorney immediately. You do not have an immediate lien on the proceeds of sale.

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Answered on 6/12/01, 9:03 pm


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