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Patrick, Esq.
Patrick, Esq., Lawyer
Category: California Employment Law
Satisfied Customers: 7151
Experience:  Significant experience in all areas of employment law.
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If i file a claim against my company with the labor board and

Resolved Question:

If i file a claim against my company with the labor board and win if they file bankcrupty do they not have to pay me?
Submitted: 1 year ago.
Category: California Employment Law
Expert:  Patrick, Esq. replied 1 year ago.
Hello again, I hope you are doing well this evening.

What would happen in this circumstance is the company's assets would be liquidated and you would be named as a creditor (someone whom the company owes money and whose debt the company is seeking to discharge). As a creditor, you would be entitled to satisfaction or partial satisfaction of your Labor Board judgment from the liquidated assets (depending on how many other creditors there are and what assets there are).

Employees owed money by a company that has declared bankruptcy are considered "priority" creditors, and so they will be first in line to have their debts paid ahead of banks, credit card companies or other potential creditors.

As always, please do not hesitate to let me know if you have any further questions or concerns. As a reminder, my answers are for informational purposes and should not be construed as legal advice.

Best wishes and happy holidays.
Patrick, Esq., Lawyer
Satisfied Customers: 7151
Experience: Significant experience in all areas of employment law.
Patrick, Esq. and other California Employment Law Specialists are ready to help you

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