Practice Areas

LABOR AND EMPLOYMENT PRACTICE

Scalambrino & Arnoff, LLP offers its clients a full range of services in the areas of labor and employment law, ranging from counsel on daily operations to litigation, from unemployment insurance issues to appellate practice, from sexual harassment to wrongful termination claims.

Counseling, Compliance and Audits

Various businesses, nationwide, retain Scalambrino & Arnoff, LLP on an ongoing basis for preventative counseling in avoiding or handling employee disputes. We advise clients on measures concerning exposure to discrimination, wrongful discharge and other claims. Often we consult with our clients concerning everyday workplace issues, such as recruitment and selection, employee morale, maintaining a union-free workplace, absenteeism and productivity. We find especially crucial dealing with the role technology, such as the Internet, e-mail and PDAs, plays in the workplace. We enhance our counseling role by offering clients a comprehensive, on-site employment and labor audit of their policies and practices.

One area of our practice sets us apart from many of our other colleagues. We regularly practice before the Illinois Department of Employment Security, the agency for determining whether an individual is eligible for receiving unemployment compensation insurance benefits. We work with our clients to understand what conduct will disqualify an employee from receiving benefits, and what conduct will not (the latter usually being poor performance). We assist our clients with managing their employees and documenting workplace incidents appropriately. We make sure our clients know that every employee, no matter what the reason for separation, voluntary or involuntary, is to be given a document explaining his rights to apply for benefits. We assist our clients in protesting unemployment insurance benefit claims which should be challenged, and represent our clients in appeals hearings as needed. We also handle appeals before the circuit and appellate courts.

Policy and Agreement Drafting

We review, and draft where necessary, employee handbooks and other workplace policies. These include policies complying with various drug free workplace laws and family leave acts. In addition, we draft various agreements for our clients, such as employment, confidentiality, restrictive covenant and separation agreements.

Employment Discrimination, Harassment and Retaliation

Our aggressive counseling and compliance approach helps reduce the likelihood that a client will be subject to a charge of employment discrimination, harassment or retaliation. However, given the cost to a disgruntled employee or applicant for filing a charge (it is free), it does happen. Our attorneys practice routinely before various local and state human rights administrative agencies across the country, addressing such matters as race and sex discrimination, age and disability discrimination, and other claims of employment discrimination, harassment and retaliation. We also represent employers with respect to discrimination before the Equal Employment Opportunity Commission (EEOC) and before federal and state courts across the nation.

Harassment is just not about sex anymore. The courts are recognizing harassment claims based onsexual orientation, transgendered status, age, disability, race and national origin. Retaliation claims are also on the rise – it is much easier for an employee to prove that he or she was retaliated against (i.e., fired or demoted) after complaining of harassment or discrimination, then for the employee to prove that the discrimination or harassment ever occurred. The employee need not prove that the harassment or discrimination occurred in order to prevail on a retaliation claim. That is why we advise our clients to work closely with us after receiving a complaint of discrimination or harassment, no matter how informal the complaint; our attorneys can help reduce the likelihood that a meritorious retaliation claim will result.

In many states, Illinois included an individual who feels that he or she has been subjected to discrimination, harassment or retaliation cannot simply file a lawsuit in court. A charge alleging the wrongful conduct must be filed first with an appropriate administrative agency, for example, the EEOC, the Illinois Department of Human Rights, or the City of Chicago Commission on Human Relations . Depending on which agency the charge is filed with determines the response required of the employer. With the EEOC, it is usually a written position statement. What is frustrating for many employers is, no matter what the EEOC decides (i.e., whether the alleged conduct occurred or not), the individual nonetheless receives a letter permitting him or her to file a lawsuit in federal district court within ninety days of receipt. Given this, our position on how aggressive (here, meaning how much of a client’s money to spend at this stage of the process) to be before the EEOC varies from case to case. It is important for the employer to take the administrative proceeding seriously, and work with counsel from the onset to establish its defenses, identify witnesses and preserve documents.

With the other agencies, the process varies, but the importance of early and thorough fact-finding remains. A business should never ignore a complaint or order issued by one of the administrative agencies, no matter how frivolous the claim appears to be. Failing to respond at all is tantamount to admitting liability, and monetary damages will be assessed.

We also handle matters involving the Family and Medical Leave Act, as well as other statutes and the common law that affect the rights of employers and employees.

Wage and Hour

Our attorneys assist clients in determining which employees are exempt and non-exempt under applicable overtime compensation laws. These laws are enforced by the United States and Illinois Departments of Labor. It is important to remember that Illinois law mandates a higher minimum wage than federal law. We also offer practical advice for keeping wage costs to a practical minimum and offering enhanced, if inexpensive, benefits to employees. Where necessary, we represent clients before the administrative agencies and courts with respect to audits and wage payment matters.

Affirmative Action

Our attorneys assist companies in developing affirmative action plans. We also work with and defend companies with respect to proceedings initiated by the Office of Federal Contract Compliance Programs (OFCCP).

Plant Closings and Bankruptcies

We assist our clients in adjusting to changing business circumstances. In today's economic climate, plant shutdowns and workforce reductions are inevitable. We work very closely with companies which are forced to resort to such measures, ensuring that they comply with obligations under state and federal laws.

This includes drafting and implementing voluntary and involuntary staff reduction programs. We also endeavor to structure the action in a manner which will reduce the client's exposure in the event the shutdown or reduction is legally challenged by an adversely affected employee.

Traditional Labor

Our practice encompasses the traditional labor area. Scalambrino & Arnoff, LLP assists companies during union organizing campaigns and representation elections. We negotiate collective bargaining agreements, either through direct participation or through on-going counseling, depending on the client's needs. We litigate unfair labor practice charges and other matters before the National Labor Relations Board (NLRB) and the federal district courts.

  Highly Placed Executives, Managers and Administrators

From time to time, we represent individuals in negotiating their separation from employment. Our expertise allows us to identify interests crucial to the more highly compensated employee, such as pension and profit sharing plan losses, insurance and opportunities for reemployment. For example, beginning in 1994 and continuing into 1996, we were involved in a series of successful negotiations of separation packages for various high ranking officers and managers of a major telecommunications company. Given various corporate restructurings, we are frequently involved in such negotiations for chief executives in various publicly and privately traded companies, addressing such sensitive issues as competition and solicitation.

BUSINESS REORGANIZATION, BANKRUPTCY AND INSOLVENCY PRACTICE

Scalambrino & Arnoff, LLP provides a wide array of services to financial institutions, business entities and individuals in all aspects of federal bankruptcy and state insolvency law throughout the United States.

The firm represents lending institutions, debtors, landlords, purchasers and sellers of distressed assets, creditors’ committees, both secured and unsecured creditors and bankruptcy trustees in all aspects of the reorganization and/or liquidation process, whether it be done out-of-court or in-court.

The firm’s wide ranging experience in this area includes work in litigating all matters in bankruptcy court; including the prosecution and defense of preference and fraudulent conveyance actions, tax claims, reclamation claims, executory contract disputes, plan of reorganization confirmation issues and discharge and dischargeability actions.

Debtors

Scalambrino & Arnoff, LLP represents businesses, and in some instances, individuals, in both out-of-court and in-court workouts of their financial affairs. This work includes the filing of Chapter 11 cases, obtaining financing and cash collateral orders, negotiating plans of reorganization and, when necessary, litigating all issues attendant to the reorganization process, including the defense of involuntary bankruptcy proceedings. The firm’s experience in this area includes work in relocating businesses to Mexico to take advantage of that country’s Maquiladora program. In addition, often in smaller or medium size cases, the owners, officers and/or directors may have guaranteed debt or personally incurred tax liability. In these instances, the firm works with these individuals to reduce their personal exposure and, if necessary, institute bankruptcy or out-of-court reorganization proceedings on their behalf.

Secured Creditors

The firm has extensive experience representing lenders in lien enforcement matters in both state courts and the federal bankruptcy court. This work includes prosecution of adversary proceedings to determine the validity and priority of liens, obtaining modifications of the automatic stay, negotiating cash collateral financing orders, negotiating plans of reorganization, litigating the confirmation of objectionable plans of reorganization, and defense of lender liability, subordination and fraudulent conveyance litigation. The firm also has extensive experience in replevin and attachment proceedings, foreclosure and other state court remedies available to lenders.

Unsecured Creditors and Creditors’ Committees

Scalambrino & Arnoff, LLP has an active practice in protecting the interests of general unsecured creditors in insolvency proceedings by preparing proofs of claims, defending objections to these claims and, if necessary, policing the case by objecting to lending arrangements or administrative claims which could reduce the dividend to unsecured creditors. Depending on the circumstances, we may or may not have our clients serve on a creditors’ committee. The firm represents these committees and has developed methods to be cost effective in this representation.

One area in which Scalambrino & Arnoff, LLP has been very active is representing landlords in reorganization/liquidation proceedings. This representation includes protecting a landlord’s interest in the assumption, rejection or assignment of its lease, compelling compliance with lease terms during “going out of business” sales, and filing rejection damage claims when leases are rejected.

Bankruptcy Trustees and Assignees

The firm is often retained by bankruptcy trustees or assignees in assignments for the benefit of creditors, either as general or special counsel, to litigate a wide variety of actions. These actions include preference, fraudulent conveyance and lien avoidance actions, fraud claims, veil piercing claims, objections to discharge and defense of trustee election requests in both Chapters 7 and 11 of the U.S. Bankruptcy Code. In addition, the firm represents assignee companies in assignments for the benefit of creditors.

Workout and General Business Advice

Scalambrino & Arnoff, LLP has been able to utilize its expertise in business reorganization, commercial and bankruptcy litigation and labor and employment law to provide general business advice to its corporate clients. The firm’s knowledge and expertise in these areas helps us advise successful businesses on how to avoid financial problems in the future and how to conduct their affairs in an orderly fashion on a going forward basis. The firm advises a wide variety of businesses and, in most instances, has found that its clients who were once work out or reorganization clients have become profitable and successful corporate clients of the firm.

COMMERCIAL AND BUSINESS LITIGATION PRACTICE

Scalambrino & Arnoff, LLP has an active business and commercial litigation practice. The firm primarily represents businesses and, in some instances, individuals, in civil proceedings before both the state and federal trial and appellate courts, as well as before various administrative agencies.

Whether plaintiffs or defendants, our clients receive highly personalized representation tailored to the individual client’s needs. Some clients wish to use Rambo style “in your face” litigation tactics, while others wish to pursue resolutions through alternative legal means such as summary trials, arbitration, mediation and other forms of alternative dispute resolution. In either case, the firm can accommodate a client’s wishes.

We attempt to control litigation costs by accessing computer assisted legal research and computerized litigation database programs, including document organization, storage and retrieval. The firm prides itself on staying on the cutting edge of litigation support computer services.

Our litigation work is varied, but is restricted to business and commercial issues. Matters with which the firm has recently been or is currently involved include:

  • contract litigation of all kinds and in varied industries;
  • disputes arising under the Uniform Commercial Code;
  • leasing disputes and litigation over options to purchase real estate;
  • disputes arising from the formation, operation and dissolution of partnerships, corporations, limited liability companies, and joint ventures;
  • “veil piercing” litigation;
  • secured lending and financing litigation;
  • insurance coverage litigation;
  • merger and acquisition litigation;
  • all types of fraud claims, including RICO litigation and business torts;
  • business collection activities;
  • real estate foreclosures;
  • bankruptcy and debtor/creditor disputes;
  • all types of employment litigation, including race, sex and age discrimination, wrongful termination, sexual harassment and enforcement of, and challenge to, non-competition and confidentiality agreements; and
  • securities fraud claims.

Scalambrino & Arnoff, LLP is acutely aware that litigation can be time consuming and expensive. For this reason, we take a preventative approach to keep our clients out of court. We make suggestions to our clients regarding preventative measures they can take to ensure, to the extent possible, that litigation is avoided. In this regard, if a problem arises we attempt to become involved in matters when they are generally in the "letter writing" stage so that the client has some control over the facts and set the groundwork most beneficial to the client should litigation follow. We have found that if our clients institute these preventative measures, their litigation costs are substantially reduced. In addition to the obvious savings of attorneys' fees and costs, little, if any, valuable work time and employee productivity is lost when there are no depositions to attend, court documents to review or other litigation activity which causes a loss of productivity, and, therefore, profit.

GENERAL BUSINESS ADVICE AND ORGANIZATION PRACTICE

Scalambrino & Arnoff, LLP has an active business practice which includes incorporations, formations of limited liability companies, partnerships and joint ventures, buying and selling of businesses, negotiating and drafting general corporate documents used in the daily operations of any business, shareholder buy/sell agreements and general corporate maintenance work.

Given that our attorneys have litigation backgrounds and experience in accounting and finance, we can offer practical business and business organization advice beyond traditional legal advice. This practical approach avoids an overly legalistic analysis of business problems; yet, allows us to provide business advice on matters so as to prevent future litigation. In today's business climate, some litigation cannot be avoided. In many circumstances, however, litigation is simply a failure to properly foresee problems in the negotiation of transactions or the general operations of a business. In this regard, we attempt to offer practical business solutions so as to preclude litigation at all levels of business activity.