If I file for Bankruptcy, can my employer legally terminate me on that ground? I live in California.
If I file for Bankruptcy, can my employer legally terminate me on that ground? I live in California.
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Answer: (1)
Absolutely not, regardless of your state of residence. Section 525 of the federal bankruptcy statute expressly prohibits private and government employers from discriminating against debtors, including individuals in bankruptcy. Your employer cannot terminate you because you availed yourself of a legal protection guaranteed by federal and state laws. Notify your bankruptcy attorney immediately if there is any indication that your employer intends to take adverse action against you based upon your financial status. Your attorney may be able to solve the problem by educating your employer about the federal and state anti-discrimination laws.
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Posted by Jamilla Moore on 22 Jan 2010