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Bankruptcy Discrimination

Posted by attorney Mohammed Badwan

Many clients I meet are reluctant to file bankruptcy even though it is in their best interest to do so. One of the most common concerns is fear of losing their job or having a hard time finding a new job because of their bankruptcy filing. The clients are relieived when I notify them of 11 USC Section 525. The federal statute prohibits employers from discriminating against current or prospective employees based on a bankruptcy filing. Bankruptcy is a federal right guaranteed by the Constitution just like freedom of speech. Therefore, do not be afraid to exercise your right if your financial situation calls for it.

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