Appellate Courts Hold No Violation in Employers' Consideration of Bankruptcies in Hiring Decisions

  • May 23, 2011

The federal bankruptcy code states that a private employer may not “terminate the employment of, or discriminate with respect to employment against” an employee due to a bankruptcy.  An open question has been whether this prohibition applied to applicants for employment, as well. 

©2011 Jackson Lewis P.C. This material is provided for informational purposes only. It is not intended to constitute legal advice nor does it create a client-lawyer relationship between Jackson Lewis and any recipient. Recipients should consult with counsel before taking any actions based on the information contained within this material. This material may be considered attorney advertising in some jurisdictions. Prior results do not guarantee a similar outcome.

Focused on labor and employment law since 1958, Jackson Lewis P.C.'s 950+ attorneys located in major cities nationwide consistently identify and respond to new ways workplace law intersects business. We help employers develop proactive strategies, strong policies and business-oriented solutions to cultivate high-functioning workforces that are engaged, stable and diverse, and share our clients' goals to emphasize inclusivity and respect for the contribution of every employee. For more information, visit