Walter Energy Gets Bankruptcy Court Approval to End Labor Agreements

Posted on Jan 26, 2016 By Robert Reese

attorney Robert ReeseMany people in the Birmingham area have watched the Walter Energy case with great interest because they work for or know someone who has a connection to Walter Energy. The court’s most recent opinion will allow the company to reject its labor agreements and end retiree benefits. This, the company said, was needed to sell off its operations.  Shortly after the Bankruptcy Court’s opinion, I received a call from one of our clients who is being laid off from his job at Walter Energy. As one can well imagine, he is very concerned about the how this will affect his chapter 13 case. I am optimistic that he will find new employment such that he will be able to continue making his chapter 13 payments. Another option may be to ask the court for a temporary suspension of his payments until he obtains new employment and can resume his payments to his creditors.

Hillary Clinton Condemns Walter Energy

Now, Presidential politics have entered into the fray by criticizing Walter Energy, its key executive, and even the Bankruptcy court in its ruling. Democratic presidential candidate Hillary Clinton issued a statement that condemns Walter Energy and its key executives for attempting to evade its healthcare and pension obligations it owes it’s employees and retirees. She further expressed her disappointment in the Bankruptcy court’s ruling. As a colleague of mine has pointed out, if people are looking to point the finger of blame then it should be at Congress and the laws it has passed and not the Court. I have personally appeared before this Judge for over 20 years and she has always shown tremendous concern for debtors who have been laid off and downsized out of a job and now find themselves seeking protection from their creditors.

At Bond and Botes, we have the experience to guide you through the complex maze of Bankruptcy. If you are currently dealing with debt that seems overwhelming, facing foreclosure, repossession, garnishments, lawsuits, and credit card collections, turn to the professionals at Bond and Botes. Our firm has been helping good people going through bad times for more than 20 years.