My wife and I are partners in an LLC that was hired by a medium sized software company to provide sales & marketing services. They terminated the relationship solely based on the fact I filed personal bankruptcy the previous year. Letter stated - we are terminating the Independent Vendor Agreement made effective February xx, xxxx between ABC and LLC effectively immediately pursuant to the insolvency event: Nevada bankruptcy case no. xxxxxx. That's the only reason given for termination.
Depends on circumstance however in the facts presented discrimination is not at issue as being insolvent is not a discriminatory class. Any potential action against your previous employer will be based on the agreement you signed to provide the services if there is one. Most agreements have a process that needs to be followed for termination and if that was not followed there is potential action.
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