How Flexible Flyer Slipped Past The WARN Act

Law360, New York (June 17, 2013, 2:21 PM EDT) -- The WARN Act — Worker Adjustment and Retraining Notification Act — requires that larger employers provide 60 days' notice in advance of plant closings or other mass layoffs. This has long been in conflict with bankruptcy practice. A recent Fifth Circuit decision, In re Flexible Flyer Liquidating Trust (5th Cir. Feb. 11, 2013), confirms that exceptions to the WARN Act apply in bankruptcy and interprets these exceptions more broadly than previous decisions.

The purpose of the WARN Act is to offer workers and their families the...
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