Central District Consumer Bankruptcy Attorney's Association

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Probably just a wage claim with priority for the priority amount and no
priority for the balance. The WARN penalties may be SUBORDINATED to general
unsecured claims, but the actual damages are just unsecured claims. Sounds
like a fun research project.
David A. Tilem
Certified Bankruptcy Specialist*
Law Offices of David A. Tilem (a debt relief agency)
206 N. Jackson Street, #201, Glendale, CA 91206
Tel: 818-507-6000 Fax: 818-507-6800
* Bankruptcy specialist cert. by State Bar of CA Bd of Legal
Specialization.

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A company was forced into bankruptcy before they could give their employees
the WARN Act notices under 29 U.S.C. Section 2101 et seq. Some of the
employees were highly paid, and the 60 day period is a lot of money to the
employer for wages it could not pay. It is a Chapter 11 case. The
employees can claim a priority for the 507 section amount, but could they
also have a claim for nondischargeability for the remainder of the claim?
I know this is esoteric, and so I guess what I'm really asking has anyone
ever dealt with this issue in a Chapter 11?
Law Offices of Steven B. Lever
>
> Steven B. Lever
>( Tel. (562) 436-5456
>( Fax (562) 684-0202
>* sblever@leverlaw.com
> www.leverlaw.com
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