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Showing posts in Judge Christopher S. Sontchi

WARN Act Claims Dismissed, But Court Grants Leave to Amend

Czarniak v. Entm’t Publ’n LLC (In re Entm’t Publ’n LLC), Adv. No. 13-50912 (CSS) (Bankr. D. Del. Mar. 12, 2014)

On March 12, 2014, the Bankruptcy Court issued an Opinion dismissing a class action lawsuit under the Federal Worker Adjustment Retraining Notification Act (the “WARN Act“) against certain affiliated non-debtors under the “single employer” theory.  However, pursuant to Third Circuit case law, the Court provided the Plaintiff with leave to amend her complaint.

When a company lays off its employees suddenly and without sufficient notice, as may be the case with companies headed for bankruptcy, the WARN… Read More