Westinghouse Avoids Age Bias Claim Arising After Plan Approved

Westinghouse Electric Co. dodged a former employee’s age discrimination suit, after the Third Circuit ruled that companies in Chapter 11 can wipe claims that arise in between a bankruptcy plan confirmation and the plan’s effective date.

Former Westinghouse executive Timothy Ellis, who alleged that his May 2018 termination was the product of age bias, was subject to an Aug. 31, 2018, deadline to file his claim in the bankruptcy case, the U.S. Court of Appeals for the Third Circuit held Monday.

His failure to meet that deadline doomed his ability to collect from the company, the court said.

The decision ...