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Opinion Of Interest – When The Automatic Stay Is No Shield – Pennsylvania Court Holds That Government's Unfair Labor Claims Are Subject To Police Power Exception - Insolvency/Bankruptcy/Re-structuring

Breaking with a Sixth Circuit decision to the contrary, in a
March 2021 decision in
Stewart v. Holland, the District
Court for the Western District of Pennsylvania held that unfair
labor claims brought by the Department of Labor against a debtor
under the Fair Labor Standards Act ( FLSA ) were not
barred by the automatic stay but could instead proceed under the
police powers exception.
A debtor s bankruptcy filing triggers the automatic
stay, which immediately enjoins, among other things, the
commencement and continuation of most litigation against the
debtor.
2 The purpose of the automatic stay
is to afford the debtor breathing room either to ....

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Judge Won't Tie Pa. Water Parks' Virus Suit To Earlier Ruling

Judge Won t Tie Pa. Water Parks Virus Suit To Earlier Ruling
By
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