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Ben Jones
Ben Jones, UK Lawyer
Category: Law
Satisfied Customers: 44390
Experience:  Qualified Solicitor - Please start your question with 'For Ben Jones'
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Bankrupty and Employement

Customer Question

Am i oblidged under UK law to inform my current employer that I am bankrupt?  Please can you make reference to the relevant UK law article so I am able to quote this...

Submitted: 3 years ago.
Category: Law
Expert:  Ben Jones replied 3 years ago.
Hello, my name is Ben and it is my pleasure to be able to assist with your question today. Please let me know what is the nature of your job and is there anything in your contract that says you must inform them?
Customer: replied 3 years ago.

Hi there Ben,


I work as an accountant in a manufacturing / component supplier part time. I did work for a large American company in the time leading up to my bankruptcy. I was concerned about the discrimmination i would face if i told the current employer. There is no clause in my contract to say that I must inform them.





Expert:  Ben Jones replied 3 years ago.
There is nothing specific in law that generally says an employee should inform their employer if they become bankrupt. However, certain obligations to do so will either be implied or be contained in some more specific regulations. For example:
• If there is a contractual obligation to inform your employer of bankruptcy, failing to do so can amount to breach of contract
• If you hold a position of trust or responsibility (for example, managing the employer's finances), an obligation to inform your employer would be implied in your contract anyway
• If you are a director of the company at Companies House you cannot continue acting as one and must inform your employer of this

In all other circumstances you would not be required to inform your employer especially if it does not affect your ability to perform your job to a satisfactory level.

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