Can a civil action be discharged?

Asked almost 2 years ago - Atlanta, GA

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I rec'd a judgement for unpaid wages from the court but about three weeks later i rec'd papers that the employer had filed bankruptcy. Can a civil action be discharged?

Attorney answers (3)

  1. Pro

    Contributor Level 20

    Answered July 20, 2011 14:48. Unpaid wages may be wiped out in a bankruptcy. Depending on details as to how old the wages are, they may have priority over some type debts, so if there are assets (and there may not be) you might collect. Be sure to file a proper timely proof of claim.

  2. Pro

    Contributor Level 20

    Answered July 20, 2011 15:10. Unpaid wages may be wiped out in a bankruptcy. Depending on details as to how old the wages are, they may have priority over some type debts, so if there are assets (and there may not be) you might collect. Be sure to file a proper timely proof of claim.

  3. Contributor Level 18

    Answered July 20, 2011 04:44. Yes, the employer's obligation can be discharged in bankruptcy.

    The debt owed to you is a priority claim.

    A great difference exists if the filing was Chapter 11 or Chapter 7.

    Money owed for wages can be a priority claim, so either way, be sure to file your Proof of Claim on time so that if there is a distribution, or a payment to be made under a Chapter 11 plan for reorganization, that the obligation to you is paid before other, non-priority, creditors.

    I hope you found this response to be of assistance. This response shall not be considered the rendering of... more
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