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Second Circuit – Bankruptcy: In Re: Oncology Holdings Inc.
Daily Record Staff//August 19, 2020//
United States Court of Appeals for the Second Circuit
Bankruptcy
Incentive payment caps – Termination of employment contract
In Re: Oncology Holdings Inc.
19-1725
Judges Jacobs, Pooler, and Carney
Background: The appellant challenged a bankruptcy court order capping his claim for certain incentive payments promised by a former employer pursuant to 11 U.S.C. § 502(b)(7), which limits employee claims for damages resulting from the termination of an employment contract.
Ruling: The Second Circuit affirmed. The court held that the appellant’s right to receive the payments was accelerated as a result of his termination, therefore the statute at issue applied to the claim.
Leon N. Patricios, of Zumpano Patricios, for the appellant; Jeffrey R. Gleit, of Sullivan & Worcester, for the appellee.
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