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Bankruptcy

Oct. 8, 2013

Trend watch: WARN Act claims in bankruptcy cases

Several firms appear to be making it their practice to file class action Worker Adjustment and Retraining Notification Act claims in any sizeable bankruptcy case. By Steven F. Werth


By Steven F. Werth


Several firms around the country appear to be making it their practice to file class action WARN Act claims in any sizeable bankruptcy case, including in Chapter 7 cases, in the hopes of obtaining either a quick settlement or a massive administrative claim against the estate. Such claims appear to be filed after little or no analysis of whether WARN Act liability even exists, and require only that counsel find a few former employees as clients ...

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