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Bankruptcy judge ordered a specific employee out of my sisters business (Mississippi)

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  • Bankruptcy judge ordered a specific employee out of my sisters business (Mississippi)

    My sister's business is going through a chapter 13. The judge recently ruled that my sister has to fire a specific employee of her's. The employee is barred and/or banned from having anything to do with the business. Is the legal and enforceable?

  • #2
    Did the judge state a reason?
    I am not an attorney, and don't play one on TV. Any information given is a description only and should be verified by your attorney.

    Comment


    • #3
      We need more details. Does your sister's business have a bankruptcy attorney? What did they say?
      Too often we underestimate the power of a touch, a smile, a kind word, a listening ear, an honest compliment, or the smallest act of caring, all of which have the potential to turn a life around. Leo Buscaglia

      Live in peace with animals. Animals bring love to our hearts and warmth to our souls.

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      • #4
        Judge forced removal of employee

        Originally posted by Alice Dodd View Post
        Did the judge state a reason?
        No. In the order (which I can share with you if need be) there is no reason given. Here is the EXACT text " 6. Further, Jane Doe's father, John Doe, is restricted and barred from being involved in the business affairs and day-to-day operations of Jane Doe's ________ practice, known as _______________. "

        Yes, they have a bankruptcy attorney (in my opinion a door mat). Our thinking is her attorney does not want to "rock the boat" with the judge and or trustee attorney.

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        • #5
          Judge forced removal of employee

          Originally posted by Betty3 View Post
          We need more details. Does your sister's business have a bankruptcy attorney? What did they say?
          No. In the order (which I can share with you if need be) there is no reason given. Here is the EXACT text " 6. Further, Jane Doe's father, John Doe, is restricted and barred from being involved in the business affairs and day-to-day operations of Jane Doe's ________ practice, known as _______________. "

          Yes, they have a bankruptcy attorney (in my opinion a door mat). Our thinking is her attorney does not want to "rock the boat" with the judge and or trustee attorney.

          Comment


          • #6
            I have a feeling that there's a WHOLE lot more to this story that we are not being told.
            The above answer, whatever it is, assumes that no legally binding and enforceable contract or CBA says otherwise. If it does, then the terms of the contract or CBA apply.

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            • #7
              What would you like to know? The excerpt from the court order is the only language in the entire order regarding the situation with my father. I would be happy to go over the ENTIRE case with you or answer any specific questions as there is nothing to hide. The question I have, which may not have a simple answer is; does a bankruptcy judge have that type of authority. Assume that a third party CPA has done a "forensic accounting investigation" and has found no wrong doing on my sister's or father's part. Simply, the judge ordered my father out of the business. Is this legal?

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              • #8
                There must be a reason that the judge doesn't want your father involved, especially if a forensic accountant was involved.

                Perhaps the accountant found some shady dealings, that while not illegal are not in the best interests of the company?

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                • #9
                  This may sound dumb, but can your lawyer just ask the judge why?

                  Comment


                  • #10
                    Originally posted by HRinMA View Post
                    There must be a reason that the judge doesn't want your father involved, especially if a forensic accountant was involved.

                    Perhaps the accountant found some shady dealings, that while not illegal are not in the best interests of the company?
                    The "forensic accountant" was a CPA my sister had come in after the judges ruling to give her a "state of the union". The CPA said, without hesitation, that not only was everything done properly and in her best interest; but that of the hundreds of accountant/book keeper types he's dealt with, only a COUPLE would have been able to do the job my father did keeping her struggling business afloat.

                    Again, I can go over and over the details...My question still stands; Does a judge have this authority?

                    Comment


                    • #11
                      Originally posted by sevenfortythree View Post
                      This may sound dumb, but can your lawyer just ask the judge why?
                      Good question. From talking with both my sister and father, they feel that because their attorney deals with these same people on a regular basis (the judge, trustee, IRS attorney, etc...) that he is unwilling to go to bat on their behalf.

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                      • #12
                        Your sister might want to talk to another attorney. Just a suggestion.
                        Too often we underestimate the power of a touch, a smile, a kind word, a listening ear, an honest compliment, or the smallest act of caring, all of which have the potential to turn a life around. Leo Buscaglia

                        Live in peace with animals. Animals bring love to our hearts and warmth to our souls.

                        Comment

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