0
Unchanged from before. That isn't to say you won't experiences changes, maybe even loss of work/job. But the BK involves creditors and may change their rights, employee rights, to safe workplace, etc. aren't involved. You never had a right to employment...US employees are employees at will..of the employer.
Wiki User
∙ 15y ago
Wiki User
∙ 15y agoI've been involved with several. Most simply, there is no hard and fast rule. C-11 evolve many ways. Some are simply financial re-organizations, but more and more they begin to look like C-7 with dissolution of the Company by the end. And of course, anything in the middle too. Even when the corporation dissolves, that may, that does NOT mean the end of your job...likely large job losses along the way, sure...but if a division or operation gets sold off, depending on to whom and what it does, it may actually be very good for some and loss of job for others. For example, accounting and management become redundant with the new owner...but the guy running the equipment...he may well find he now works for a much more stable employer that is able to expand the product lines he works on. It simply depends. Your payroll (but not all your benefits, which may go through changes), are pretty well secure through the BK process.
Wiki User
∙ 9y agoCompanies that file for bankruptcy still have to pay their employees, if they have enough money. Employees are prioritized during bankruptcy procedures, so the company will have to pay for their work.
Wiki User
∙ 14y agoAssuming you are talking about the employer filing bankruptcy, it depends on the kind of bankruptcy. If a Chapter 7, they are screwed. If a Chapter 13 (not a corporation) or 11, it will depend on the plan. Downsizing is not unusual, and stripping of pensions is not unusual either.
Add your answer:
Earn +20 pts
What are the difference between Chapter 7 vs Chapter 11?
The difference between Chapter 7 bankruptcy and Chapter 11 bankruptcy is what happens to a party during the process. Parties undergoing chapter 7 bankruptcy must sell of their assets in an attempt to pay off dept. Chapter 11 allows for one to attempt to maintain their assets. During chapter 11 bankruptcy the party must negotiate with creditors to stay afloat.
If an LLC declares bankruptcy how are owed employee wages handled?
If an LLC declares Chapter 11 bankruptcy the employees wages will continue to be paid as normal. However, under a Chapter 7 bankruptcy, the employees are listed as creditors, and wages are paid out with other creditors from any remaining assets, if any remain.
How does chapter 11 bankruptcy affect you?
Chapter 11 bankruptcy allows you to reorganize your debt so that you may pay it off. But it is not for everyone. You should contact a lawyer to see if you could even qualify for Chapter 11 bankruptcy.
What is Chapter 1 Bankruptcy?
It is a voluntary (creditors) chapter 11
What is the chapter 11 of the bankruptcy law all about?
The chapter 11 of the bankruptcy law permits reorganization under the bankruptcy laws of the United States of America. Chapter 11 is available to every business and to individuals, although it is mostly used by businesses.
How many employees does Adelphia Communications Corporation have?
The company Adelphia Communications Corporation now has the small amount of 275 employees. They had to let go some of the employees when they filed Chapter 11 Bankruptcy and had to reorganize the business.
Where can one find information on Chapter 11 Bankruptcy?
There are many places where one can find more information on Chapter 11 Bankruptcy. One can find more information on Chapter 11 Bankruptcy at popular on the web sources such as Nolo and US Courts.
What is the difference between chapter 11 vs chapter 7 bankruptcy?
The major difference between Chapter 11 bankruptcy and Chapter 7 bankruptcy is that Chapter 11 offers more flexibility so that debtors can negotiate terms without having to sell their assets. Under Chapter 7 bankruptcy, the debtor's assets are almost always sold to pay off their debt. Chapter 7 also features a level of debt forgiveness, whereas Chapter 11 does not.
My fiance filed chapter 11 bankruptcy and now we want to get married can the court trustee demand more money?
Make sure that it was a chapter 11 and not a chapter 7 or a chapter 13. Many times there are no trustees in a chapter 11 and chapter 11 is almost always a larger business bankruptcy.
Has testa corp filed chapter 11?
Chapter 11 is a type of bankruptcy that can be filed by both businesses and people. Testa Corp filed bankruptcy on October 11, 2013.
What is the definition of Chapter 11 bankruptcy?
To somewhat oversimplify: Chapter 11 is "reorganization" for Corporations or a business, & Chapter 13 is a very similar thing for people. Debts and life are paid off/down and things re-organized. Chapter 7 is flat-out, busted-broke bankruptcy - out of business, not a penny left.
What protection does Chapter 11 Bankruptcy offer?
Chapter 11 is the bankruptcy code issued to a business who files for bankruptcy. This type of bankruptcy protects a business and will allow it to get running again. If a business fails and applies for chapter 7, they must sell everything and give the proceeds to creditors. A person on chapter 11 does not have to do this.
