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Delta-Lawyer, Attorney
Category: Legal
Satisfied Customers: 3546
Experience:  10 years practicing IP law and general litigation
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Hi I use to own a bingo hall that is now closed. But I did

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Hi I use to own a bingo hall that is now closed. But I did not pay all of my employee for their work time. And now they are taking me to court to try to get thief money for work. But the business is already closed. Am I still liable to pay it and do I have a chance in court with them? Thank you for your time. Also I am going to go through with a bankruptcy. How will that affect me?
I hope this message finds you well, present circumstances excluded. As a matter of course, if the individuals can show the hours worked, then you are liable to them for that work even if the business is now closed. The burden is on them to show the court that they performed the work and that they were not paid for that work. If they meet these requirements, you can be held liable.

That said, if you were to file for bankruptcy, something called an automatic stay would prevent them from being able to collect that which is owed to them for the work performed. They would have to file with the court as one of your creditors and essentially get in line with any other creditors to which you owe money.

I wish I had better news for you under the circumstances. However, I am obligated to convey the legal reality of the situation.

Let me know if you have any additional questions or comments.

Best wishes going forward.
Customer: replied 3 years ago.
So if I was to go throughout with bankruptcy then I may not be liable? The n will I have to appear in court with them or will the bankruptcy lawyer take care of it? Thank you again.
That is correct. If you file bankruptcy, they may not be able to get anything, depending on where they are in the line of creditors. You would likely not have to appear in court, unless summoned to appear by the judge. You really cannot control whether the judge summons you to appear, however.
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