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Bankruptcy News
Delaware Bankruptcy Court's Grants New Hampshire's Request for $100,000 to Pay Accrued Vacation Time to CCT Workers
CONCORD - Gov. John Lynch announced today that a Delaware Bankruptcy Court has approved New Hampshire's request for $100,000 to pay for some of the vacation time owed to workers at the closed Car Component Technologies (CCT) of Bedford and Merrimack.In December, Gov. Lynch asked the Department of Justice and the Department of Labor to intervene in CCT's bankruptcy filing to help protect the rights of New Hampshire workers. New Hampshire's Labor Commissioner George Copadis and Peter Roth, Senior Assistant Attorney General, led the state's efforts in the CCT bankruptcy.
"By closing its doors without any warning to employees, CCT acted irresponsibly. As a state, we took action to do everything possible to protect the interests of workers," Gov. Lynch said. "While it does not make up for everything they are owed, this is an important victory for the former employees of CCT." CCT violated a federal law, known as the WARN Act, by closing without giving 60 days notice. Based on that violation, a civil suit is continuing in an effort to help workers recoup other money that they are owed.
Labor Commissioner Copadis said, " I am very pleased that at Governor Lynch's direction, Peter Roth and I were able to secure $100,000 in accrued vacation time benefits for the former employees of CCT through the Delaware Bankruptcy Court. This is a very important first step and we intend to stay the course until we are satisfied that these former workers receive everything that they are reasonably entitled to." The State of New Hampshire continues to assists workers in finding new jobs and in retraining.
There are a number of protections for consumers in the Fair Debt Collections Practices Act
One important point - you are responsible for your debts. Nothing in this law gives you the right to skip out on your bills. It just protects you from unscrupulous collection agencies. And the lender can take legal action to collect the money.
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Definition:
A set of amendments to the Bankruptcy Reform Act of 1978. It contains a number of provisions including: limiting the jurisdiction of the bankruptcy court.
Debtor-in-possession
Definition:
The debtor which remains in control of operations; as opposed to having a trustee operate the company.
Bankrupt
Definition:
The entity that files a bankruptcy; the debtor; the insolvent entity. This is a non-technical term and is not used in the Bankruptcy Code.
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