Tag Archives: Bankruptcy

Court Decision Clarifies that a Bankruptcy can be Used as Part of Pre-Employment Background Check for Private Employers

A new decision by the United States Court of Appeals for the Third Circuit has clarified the issue of whether a private employer can legally consider a job applicant’s bankruptcy under U.S bankruptcy law in making an employment decision. The Court ruled that when it comes to private employers, Congress intentionally only protected current employees from discrimination under bankruptcy law, and that job applicants were not protected. However, employers should still approach the use of bankruptcy records with great caution. Continue reading