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Does Employer Bankruptcy Void Non Compete?

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K

kyscot

Guest
My wife works for a company that just built a 2nd facility, the owner in order to shed some of the debt from this contruction is rumored to have filed bankruptcy. All the employees in her location have or had sign Non-Compete agreements for a period of one year after they leave,that they can not work within 7 miles of the current employers location.

If the owner has filed bankruptcy would this in turn void all the prior non compete agreements since by filing the owner is for lack of a better term giving up to get rid of debt?
 



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