Need legal advice re: employment. . . . .

[Di Z]

I need legal advice regarding my husband's employment or should I say unemployment. He is a driver of an 18 wheeler and worked for this company for 10 years, no accidents, good driving record.

The company recently declared bankruptcy (Dec 1) and was bought out by a larger company. The larger company pared the work force down with experienced driver's being let go first.

My husband and several friends have already hired on with another company. The old company promised to send the laid off employees their final wages in the mail. Payday was always on Friday so we were expecting it sometime this week. So far no one has received their final check. Upon inquiry we were told checks would be mailed out on Dec. 19, a Friday.

I'm beginning to feel like we are getting the runaround. What is to stop them from not sending them their final checks? What can be done or should be done about this? :unsure: Does their bankruptcy protect them from litigation?

Help, we are getting worried. . . . . .

[Shells2]

Can you phone them and tell them not to mail them out, that you will pick his up?

[Di Z]

Thanks for answering Shells. That is not an option since the company he works for is in Arkansas and we are in NM.

This is gettting worse by the moment. My husband just called from orientation at his other job. Some of the former employees who hired on with this new company have said that they received checks but they were UNSIGNED!! It is also said that the Feds swooped in and seized all of the bankrupted companies assets.

Anyone. . . . . . .can they get away with this?:cursing:

[Cornblossom]

You need to get a lawyer. Payroll is exluded from bankruptcies.

[Heidi J.]

Thanks for answering Shells. That is not an option since the company he works for is in Arkansas and we are in NM.

This is gettting worse by the moment. My husband just called from orientation at his other job. Some of the former employees who hired on with this new company have said that they received checks but they were UNSIGNED!! It is also said that the Feds swooped in and seized all of the bankrupted companies assets.

Anyone. . . . . . .can they get away with this?:cursing:

It sounds like they are starting to play "games" with you. Was your husband supposed to get paid on the 12th?

[Di Z]

It sounds like they are starting to play "games" with you. Was your husband supposed to get paid on the 12th?


Yes, it does sound that way doesn't it? We understood it would have been on the 12th as it was our regular payday. We usually used direct deposit and they told us our final check would be a paper one. When we hadn't got it by Wednesday I started asking questions. I was then told they were going out on the 19th. Now the other drivers have been trying to call and no one can get through.:cursing:

[Amy]

Sounds like time to hire a lawyer, for sure. Since there are several drivers involved, maybe one lawyer for the group to cut on the fees?

[Jay]

I need legal advice regarding my husband's employment or should I say unemployment. He is a driver of an 18 wheeler and worked for this company for 10 years, no accidents, good driving record.

The company recently declared bankruptcy (Dec 1) and was bought out by a larger company. The larger company pared the work force down with experienced driver's being let go first.

My husband and several friends have already hired on with another company. The old company promised to send the laid off employees their final wages in the mail. Payday was always on Friday so we were expecting it sometime this week. So far no one has received their final check. Upon inquiry we were told checks would be mailed out on Dec. 19, a Friday.

I'm beginning to feel like we are getting the runaround. What is to stop them from not sending them their final checks? What can be done or should be done about this? :unsure: Does their bankruptcy protect them from litigation?

Help, we are getting worried. . . . . .


If he worked in NM the former employer is subject to NM laws. MOST states have what are called "final/last paycheck" laws and govern the min/max time an employee must be paid if they resign or are fired. Here is NM's.




50-4-4. Discharges [Discharged] employees.


A. Whenever an employer discharges an employee, the unpaid wages or compensation of such employee, if a fixed and definite amount, and not based on a task, piece, commission basis or other method of calculation, shall, upon demand become due immediately, and the employer shall pay such wages to the employee within five days of such discharge.



B. In all other cases of discharged employees the settlement and payment of wages or compensation shall be made within ten days of such discharge.


C. In case of failure to pay wages or compensation due an employee within the time hereinbefore fixed, the wages and compensation of the employee shall continue from the date of discharge until paid at the same rate the employee received at the time of discharge, and may be recovered in a civil action brought by the employee; provided that the employee shall not be entitled to recover any wages or compensation for any period subsequent to the date of discharge unless he pleads in his complaint and establishes that he made demand within a reasonable time upon his employer at the place designated for payment and payment was refused, provided further that the employee shall not be entitled to recover any wages or compensation for any period subsequent to the sixtieth day after the date of discharge.


I would say he was discharged by the old company, although involuntarily. I don't know what the case law on this section outlines though.


How was he be paid when employed, under A or B?

Due to enormous amounts of paperwork, as there always is in a BK case, extra time would probably not be a technical violation of law.

Wait a few days, if you have not heard from them contact them by e-mail/fax/phone and ask why the delay? They say the 19th is the midnight hour, give it until monday for the snail mail to arrive.


What day was he technically fired by the old company?

[Jay]

Just in case, here is Arkansas' law. I can't pull up the code page, but my source has this listed:


Arkansas Railroad employees only: If employee is fired: immediately.

All other employees: if employee is fired: within seven days after demand; if employee quits: no applicable law. (Arkansas Code §11-4-405; Howard v. Glenn Bros. Trucking, 609 S.W.2d 897 (Ark. 1980)


My source (http://www.lawsguide.com/mylawyer/guideview.asp?layer=3&article=215)


The others that were paid, ask what state is the origin of check issue, AR or NM?

[Heidi J.]

I just love when you chime in with your advice Jay:thumbsup: It is always helpful!:biggrin:

[Di Z]

Thank you all so much for your advice, especially Jay. The other guys are all adjusting to the new job so it is hard for them to do anything. I am trying to help them.

The drivers are paid according to the miles they travel. Those are calculated by the bills they mail in and paid weekly. They are actually the Western Division and travel between NM and California alot and some of the other western states. The checks originate from Little Rock where the main terminal and offices are.

I managed to get thru to my husband's former dispatcher and questioned him about the payroll. He informed me there was no bankruptcy that they were just bought out. He said that there was no one to sue as apparently the new company feels no obligation to pay the drivers they laid off. Can this be true?

Geeze, right at Christmas too. Talk about the Grinch!! :angry:

[Jay]

I just love when you chime in with your advice Jay:thumbsup: It is always helpful!:biggrin:


Why thank you so very much for that nice compliment!! :smile:

[Jay]

Thank you all so much for your advice, especially Jay. The other guys are all adjusting to the new job so it is hard for them to do anything. I am trying to help them.

The drivers are paid according to the miles they travel. Those are calculated by the bills they mail in and paid weekly. They are actually the Western Division and travel between NM and California alot and some of the other western states. The checks originate from Little Rock where the main terminal and offices are.

I managed to get thru to my husband's former dispatcher and questioned him about the payroll. He informed me there was no bankruptcy that they were just bought out. He said that there was no one to sue as apparently the new company feels no obligation to pay the drivers they laid off. Can this be true?

Geeze, right at Christmas too. Talk about the Grinch!! :angry:


IF the old company paid the other drivers, then thier debts had not yet been assigned to the other company through a buyout.

IF they were, you sure don't want to sue the new company he works for.

You may be stuck, sorry to say, not right at all.

One option I see is complaining to AR's state Department of Labor, maybe the Wage and Hour Division or such?

Another option is suing the old company in NM small claims court. IF this company is "National" they may have a Statutory Agent in NM to serve. SA's are responsible for accepting lawsuits/service of process for companies instead of specifically trying to locate an address to serve the entity.

Tremendous headache, even if possible.

One last option is consulting an Attorney in NM.

This is one of those things that may be have to let go, as it may cost more in time and energy and out of pocket expense then it's worth, and even if a successful suit is filed, they will legally wrangle it around.

Best course is to contact the NM DL and see what they say. Maybe thier online web page has a "complaint" section/form.

Regardless, best wishes and Merry Christmas to you out there.

Jay

[Di Z]

I may have confused you a little bit. The old company is CEI and was bought out by CG. The drivers all worked for CEI and CG pared down the group to cut costs, getting rid of experienced driver's first.

Many of CEI's "let go" driver's, including my husband went to work for MVT. Some of them stated they got checks from CEI but they were not signed.

However, I am thinking that you are right. By the time you go to all the trouble of getting a lawyer and the red tape involved our crisis period (right now!!) will be over. I think the other driver's feel that way too.

It really rankles me and has put us and everyone else in a big bind. I've been told many times that I am a "cause person" and I guess it's true. I hate to see injustice. My husband tells me to calm down and leave it alone for now. We will survive.

I think I will try contacting the Dept of Labor just to see what they say. Thank you so much for your helpful advice. Merry, merry Christmas to you and yours! :biggrin: . . . . .and to all of y'all!

[Jay]

I may have confused you a little bit. The old company is CEI and was bought out by CG. The drivers all worked for CEI and CG pared down the group to cut costs, getting rid of experienced driver's first.

Many of CEI's "let go" driver's, including my husband went to work for MVT. Some of them stated they got checks from CEI but they were not signed.

However, I am thinking that you are right. By the time you go to all the trouble of getting a lawyer and the red tape involved our crisis period (right now!!) will be over. I think the other driver's feel that way too.

It really rankles me and has put us and everyone else in a big bind. I've been told many times that I am a "cause person" and I guess it's true. I hate to see injustice. My husband tells me to calm down and leave it alone for now. We will survive.

I think I will try contacting the Dept of Labor just to see what they say. Thank you so much for your helpful advice. Merry, merry Christmas to you and yours! :biggrin: . . . . .and to all of y'all!


I need to correct myself here, I said:

"Another option is suing the old company in NM small claims court. IF this company is "National" they may have a Statutory Agent in NM to serve. SA's are responsible for accepting lawsuits/service of process for companies instead of specifically trying to locate an address to serve the entity."

There is no old company!! I was a little confused as it was maybe a "division" that was bought out and the MAIN company still existed! Sorry about that.

I can't see how some were paid and not others? I don't know if the DOL can help or not, it may just lead to the doorstep of CEI as an assigned debt?? But since he now works for MVT, it won't matter if CEI is sued?

Hassle city all around, sorry to say!

It may be one of things that will cause more stress and anxiety and fight then it's worth, sorry to say. This is unfortunate for the working man!!

Best wishes and happy holidays to you also.

[penguin01]

I may have confused you a little bit. The old company is CEI and was bought out by CG. The drivers all worked for CEI and CG pared down the group to cut costs, getting rid of experienced driver's first.

Many of CEI's "let go" driver's, including my husband went to work for MVT. Some of them stated they got checks from CEI but they were not signed.

However, I am thinking that you are right. By the time you go to all the trouble of getting a lawyer and the red tape involved our crisis period (right now!!) will be over. I think the other driver's feel that way too.

It really rankles me and has put us and everyone else in a big bind. I've been told many times that I am a "cause person" and I guess it's true. I hate to see injustice. My husband tells me to calm down and leave it alone for now. We will survive.

I think I will try contacting the Dept of Labor just to see what they say. Thank you so much for your helpful advice. Merry, merry Christmas to you and yours! :biggrin: . . . . .and to all of y'all!

The fact that some checks were sent out would indicate to me an intention to pay. The fact that they weren't signed is simply an error and probably will be corrected - these things happen. In all likelihood they don't want to end up in court to make those checks good. Sounds like things are in a bit of disarray back at that company - give them a little more time. As your husband said - chill awhile. Don't be rushing out spending money on a lawyer. I assume letters to the company are being written - copies of unsigned checks being sent to them. Wait and see. And try not to worry so much in advance.