Legal Question in Bankruptcy in Texas

My rights as employee of company filing Chaper 11

I expect to be laid off from a company from which I have worked for about a year. The layoffs will occur, without a doubt, as the company has filed for Chapter 11 and expects to be bought out by another company which they have refused to disclose any information about. I am wondering what rights I have as far as contacting the Bankruptcy Court in regards to a severence packages, my legal rights in pursuing information, etc. Any information you can give me would be greatly appreciated.


Asked on 8/28/01, 8:02 pm

1 Answer from Attorneys
Lawrence Maun Lawrence J. Maun, P.C.

Re: My rights as employee of company filing Chaper 11

As an employee you are entitled to file a cliam for wages owed. As for severance, unless you have a contract you are probably out of luck. Even with a contract, your employer under bankruptcy law can reject it and you become an unsecured creditor. Genrally in a Chapter 11 unsecured creditors receive only a small percentage of their claim. Larry Maun 713-266-2560

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Answered on 9/17/01, 3:59 pm


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