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1) which means that a company or a legal person is declared bankrupt?

Bankruptcy is a proceeding against a debtor is insolvent. Insolvency exists when the person or company has failed to comply with the payment of its obligations and has no money to cope. (Eg.: Providers, banks, labor, treasury, etc).

This can lead to either creditors or the debtor himself requested the judge to declare bankruptcy.

The trial aims to sell all the property that a person's name to pay its debts in the order established by law.

2) WARN YOU WHEN CAN AN EMPLOYER MAY BE DECLARED BANKRUPT?

may be requested to note that the failure of an employer when it has behaviors that indicate that it will meet its obligations. For example, hidden, closed offices, do not pay contributions for workers, wages are late, and suddenly massive fires workers, etc.

3) CAN BE DONE?

a) inquire about the status of the company and the union breaches,

b) report violations and request inspection of the Ministry of Labour,

c) collect the maximum of labor and social documentation on unpaid benefits.

4) WHO MANAGES THE BANKRUPTCY?

Immediately after the declaration the bankruptcy of a company ceases administration by the owner and becomes administered by a trustee .

The trustee is an accountant or group of counters that are drawn from a list and are appointed by the judge.

liquidator's task will be to manage and sell the assets of failing to pay their debts.

5) WHAT ABOUT WORK CONTRACTS WHEN YOU FILE BANKRUPTCY?

The bankruptcy ruling produces suspension of employment contracts for a maximum 60 calendar days without the right to salary payment.

From there the judge (proposed by the trustee) decides whether:

a) continue with the operation of the company : has 10 days to reorganize the tasks and decide if and who lays off workers;

* workers continue: old contract is extinguished and the birth of a new contract. Therefore will not consider the length of service prior to the declaration bankruptcy

* dismissed workers: may charge compensation.

If it was bankrupt FOR FAILURE OR LOSS ATTRIBUTABLE TO EMPLOYER WORK (this has to prove it) or force majeure, the compensation shall be half the corresponding pay uncaused. In other cases, compensation is provided for the dismissal without cause (s. 245 labor contract law)

b) does not continue to the operation of the company : dissolves the company and an employment relationship (see credits charged pto.7)

The decision depends solely on whether the company is profitable or not to build assets to pay debts.

To continue holding the trustee may take into account the formal order of 2 / 3 of workers. In this case the company shall be constituted as a cooperative.

* In case of dismissal by the liquidator, the company closed * or * purchase of the company by a third resolve labor contracts and collective agreements are extinguished.

6) CAN THE TRUSTEE TO DISMISS WORKERS?

Bankruptcy itself is not grounds for dismissal. The trustee can fire workers on the same grounds (of Law Employment Contract) which may be invoked and giving the employer notice.

If the trustee dismisses workers without showing good cause must bring labor demand pay uncaused.

7) WAYS TO CHARGE YOUR CREDIT THE WORKERS EX

The employee can choose between:

a) Prompt payment : a1) if included in the list of creditors which the trustee: if the judge allows the claim is paid directly by the trustee; a2) if not included in the list: should write a letter to the trustee requesting prompt payment and accompanying documentation evidencing the debt and the judge decides if applicable.

(the down payment can be applied for credits from wages, family allowances or compensation)

b) Request verification as a creditor in bankruptcy: for this is due to attend a lawyer to file a claim in the bankruptcy court which handles the credit worth doing it. You can negotiate with other creditors the amount you will pay when assets are liquidated. This can be done has been initiated or not the labor case.