way OT: the shoe has dropped

You absolutely have them all. You've always been in our prayers!! Hugs and good thoughts on the way, too!!

At the risk of being too ... personal and windy: If it helps any, Chapter 11 is the best kind of BK for a company to file - at least, for it's employees. Chapter 11 will just mean a reorganization in the long run. In the meantime, though, it does mean that assets have to be frozen so the Trustee appointed by the court can assess the assets vs liabilities.

The problem is that once a BK is filed, an automatic stay is ordered (which is supposed to keep creditors from demanding payment - in this case, employees are considered "creditors" which is why his wages have been frozen). Once the stay is lifted either due to a dismissal (the company will have to prove it's worthy of BK protection) or discharge, all payments will resume. Employees don't just get the shaft.

In fact, wages have a VERY high priority in BK procedings. Your DH's wages will be paid before ANY other bills.

If you like, you can also file a claim NOW for those wages against the employer in BK court. But, again, once the case is reviewed by the courts, employee wages will be unfrozen, so that would just be your call - since it's REALLY unlikely to be at all necessary.

(Again, sorry to be so windy, but I didn't know if you knew all this. Dealing with BK is really scary and I know you're stressing like crazy. I just didn't want you to stress more than you have to)

On Thu, 8 Jan 2009 13:55:11 -0600, Karen, Queen of Squishies wrote (in article ):

I'll keep you in my prayers, Karen.

Maureen

Connie??? Have you been missing for awhile? I've wondered what happened to you, but I'm having issues with things not showing up in Outlook Express so I'm never sure if someone is AWOL or if I'm just missing stuff.

Welcome back

Marilyn in Alberta, Canada

Yep, I've been missing. I had a *mild* stroke back in May, so I've not been around. Thanks for asking!

I'd really, really like to know if Karen's gotten any ideas of what's going on with her DH's employer. Knowing a bit more about her situation might help us give her suggestions?

We've missed you Connie. I'm glad to see you back! Weren't you moving a while back? Did that go as planned? I hope you're back in the swing of things.

Connie,

Not all of this is always the case. My DHs employer filed Ch 11 and closed the doors within 6 months putting over 1000 people out of work. My DH lost his retirement and got no severance. I hope for Karen and her DH that things go better for them.

Ouch, Mary!! I am so sorry! I really hope and pray that things have gotten much, much better since then!! :(

It sounds then, as though your DH's employer either converted the CH11 into a CH7 or perhaps filed for permission to liquidate the business. I know this is cold comfort, but that's, AFAIK, a rare occurence. And usually only a business' last resort.

I know next to nothing about BKs personally, but back ages ago, when my MIL was first in deep debt, she asked me to look into the possiblity of her filing CH 7. The books I read talked a bit (not oodles) about BKs for businesses, too. So, really, I have no personal knowledge of it, just what I read a long time ago - and what managed to stick somehow. Which really ain't much. :/

FWIW, Mary, you and your hubby are in our prayers. Even while I was gone from the group, I still remembered you all in my prayers.

Replying privately. :)

(Don't want to thread-jack Karen's thread.)

Thanks, Connie. It was a rough 6 years for us and ended in us filing personal bankruptcy. That was just closed this month after filing 2 years ago. The employer liquidated.

I know this doesn't mean much, but discharging a BK in only two years is really amazing!

Please don't be offended at my asking, but have you begun fixing your credit? DH had to do that so we could buy a house (medical bills aplenty from my stroke). He's got bookmarked sites all over our computer that really helped him get things striaghtened out. If you're interested (for all I know, you've alreayd done all that), I can give you some good sites that will give great advice.

Really, though, I am so sorry. I really didn't mean to bring up painful memories. You're sitting securely in my prayers, Mary. You and your sweet hubby. You deserve so much better.

FWIW, God Bless you!

We are working on rebuilding our credit.

Here's all the news and details from corporate headquarters. You can read all about it here http:You//

Karen, Queen of Squishies

That's a bad link, here is the corrected one. Sorry about that.

Karen, Queen of Squishies

Keeping you and your DH in my thoughts, Karen.

Oh Karen, I do know the uncertainty that you are feeling. Been there before and prayer is what I can offer first of all. My own sister has just gone through this. Unfortunately her husband's plant did not survive. On the up side for her she has a good job so even though they have had to tighten the belt, they are making it. Jobs here (in Michigan) have been hard to come by for a very long time since we have the highest unemployment right now in the country (about 10%). With the auto companies and the businesses that are directly related to the auto industry not in jepoadry we are bound to see even more out of work. I don't know how much worse it is going to get around me. Right now there are 5 homes in foreclosure on my street that only has about 20 homes. One is up for auction also the end of this month. I hope for you the very best and pray that his company will be able to survive without to much more pain for the employees. Maybe this is a time where our quilting skills can come to be very helpful. I know I have sold a few quilts when times got really bad. julia

Prayers and positive thoughts are on their way for your DH - and his co-workers. These are not good times.

ME-Judy