The Bankruptcy Code, at 11 U.S.C. § 525(b) clearly and in no uncertain terms states, “No private employer may terminate the employment of, or discriminate with respect to employment against, an individual who is or has been a debtor under this title, a debtor or bankrupt under the Bankruptcy Act, or an individual associated with such debtor or bankrupt.”
It is simply against federal law for a private employer to either terminate or decline employment solely because of a bankruptcy filing. Oregon and Washington state laws also bar private employers from discriminating against bankruptcy filers.
