An attorney filed for a Chapter 7 bankruptcy and one of its creditors, who is a former employee, was entitled to her payment as ordered by the court. When a Chapter 7 is filed, one is able to keep some of his or her properties, the debt that he or she has on the property, and he or she is still liable for them. Here the former employee, who is also an attorney, brought a discrimination case against her boss when she was fired after she came back from her pregnancy leave. The court held in the employee’s case that the female attorney was discriminated against. Thus, she was awarded monetary damages. While the judgment was challenged, the decision was affirmed. Thus, the female attorney is entitled to about “$175,000 plus interest,” which has not been paid to her yet.

The Bankruptcy Court, ordered for the boss to pay the employee, however, he failed to “comply with a turnover order, ” as reported by the New York Law Journal in an October 23, 2013 news article. As a result, the boss was held in “contempt of court.” However, when the attorney decided to comply with the court turnover order and pay about $165,000 owed with interest, as well as to comply with “all subpoenas in a pending bankruptcy proceeding,” he was released from prison. He spent about a week in jail and each day the court charged him about $1,000 for his contempt. Thus, the attorney spent about $7,000 for failing to comply with the court orders.

Jayson Lutzky, an attorney with 31 years of experience practicing law, handles personal bankruptcy cases. His office is located in the Bronx, New York. If you are considering filing bankruptcy, then it is advisable to speak with a qualified lawyer. Mr. Lutzky offers free in office consultations. To set up an appointment, call 718-514-6619 or visit www.MyNewYorkCityLawyer.com.