Recently, the US Court of Appeals for the Third Circuit reminded us why bankruptcy laws are not always fair… especially to those current and former bankruptcy debtors who are looking for employment. In the December 15, 2010 decision of REA v. Federated Investors, the court affirmed a US District Court ruling that the Bankruptcy Code does not create a cause of action against private employers who refuse to hire employees because of a prior bankruptcy filing.
Posts Tagged ‘Bankruptcy & Employment’
Security Clearances & Bankruptcy
Thursday, November 12th, 2009
Occasionally, clients will ask me about whether their security clearance is at risk if they file for bankruptcy protection. This came up yesterday when I came across a comment from a reader who expressed real concerns over his fear of losing his clearance if he filed. Why? The simple reason is this: no security clearance = no job. Yet the answer to the question is not an easy one to paint with one large generalized brush. But I’ll do my best.