Plaintiff's Failure to List Employment Claim in Bankruptcy Results in Summary Judgment for Employer
A former branch manager of First Technology Federal Credit Union fired for multiple lending irregularities shortly after undergoing heart surgery filed for bankruptcy and failed to list his employment claim in the bankruptcy case. He then sued our client in Texas federal court under the Age Discrimination in Employment Act and the Americans with Disabilities Act. We moved for summary judgment on the ground that the plaintiff was precluded from suing because he did not list his potential claims on the personal property schedule in his bankruptcy case. Although the plaintiff argued that he was unsure whether he had a claim against his former employer at the time he filed for bankruptcy, the court nonetheless granted summary judgment for our client. The court held that the plaintiff was sufficiently aware of the facts underlying his later lawsuit when he filed for bankruptcy and had a reason to hide his alleged claim in order to avoid using any potential recovery to pay his unsecured debts.