Peoria, IL asked in Bankruptcy for Illinois

Q: I am presently working for a Retail Store that declared bankruptcy with the store closing at the end of the month.

They have since sold the store to another company. We were suppose to file for unemployment but now they are telling us we can't cause the other company bought our store. The other company wants for us to fill out new job applications. The Store closes on March 31, 2021. So who am I employed by? Can I still file for unemployment?

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1 Lawyer Answer
Lloyd M. Nolan
Lloyd M. Nolan
  • Chesterfield, MO
  • Licensed in Illinois

A: This is not a bankruptcy question. It is actually a question about Illiniois unemployment compensation. I do not handle unemployment issues, but I believe that you would be ineligible for unemployment if there is a job offered to you with the new company and you decline. Even if one is receiving unemployment compensation, they are generally required to look for work while receiving benefits. I suggest that you contact the "other company" as it may be that they are taking control of the business and assuming all of its obligations. If there is a job available at the same rate of compensation and, essentially, the same as what you were doing before, I believe that you will need to take it. You many want to contact the Illinois Department that handles unemployment compensation.

Timothy Denison agrees with this answer

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