Tuesday: February 8, 2011 - WRCBtv.com | Chattanooga News, Weather & Sports

Tuesday: February 8, 2011

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LIVELINES: LEGAL ISSUES

 A North Georgia company, in business for more than two decades,  recently shut its doors for good.
  Before closing, Fuller Rehabilitation sent out final paychecks for its employees, but, that money was soon taken back. Leaving a lot of employees in  world of hurt. So what legal options do employees have in this situation?
  Attorney Gary Starnes was our guest this morning. He said that this will be a long and tedious process for former employees to try and recoup any money. He said the first step is to file "A Proof Of Claim."  
 
 A "Proof of Claim" form is a legal document filed by a creditor in a bankruptcy action. The completed form lets the court know that the person or business filing for bankruptcy remains indebted to you. In some instances, a creditor will be able to receive full or partial payment for the remaining debts depending upon the debtor's assets at the time he or she files for bankruptcy.

1.Obtain Official Form B 10: Proof of Claim. You can download this form from the U.S. Courts website or request it from the federal bankruptcy court that has jurisdiction over the bankruptcy proceeding.

2. State which court the bankruptcy proceeding is currently filed with, the name of the debtor, and the case number of the debtor's case. If you need to find the case number, call the court where the debtor filed for bankruptcy and provide the debtor's name to the court clerk.

3. Enter your creditor information on the form. This includes your contact information and relationship to the debtor. Additionally, read the debt descriptions located in the right-hand column of the form and check any that apply to your relationship with the debtor.

4. Sign the form and attach copies of any supporting documents such as contracts, receipts, bills of sale, or liens that may be used as evidence to prove the amount that the debtor owes you.

5. File your completed Proof of Claim form and supporting documents with the court clerk or administrator at the court.

GARY STARNES
266-7800

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