JACKSONVILLE BEACH, Fla. – The Jacksonville Beach restaurant, Nippers Beach Grille, faced a bump in the road Monday, as it goes through bankruptcy proceedings. Some employees have come forward saying that their paychecks are bouncing.
Owner Rudy Theale confirmed that about 40 of his 106 employee's paychecks bounced but said that it wasn't as a result of the bankruptcy filing he made at the end of July, Theale said it was a bank error and the checks he gave to employees weren't linked to the proper account.
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Theale said that he reissued the checks to the correct account and has opened a new bank account which should stop the issue from happening again.
Employee rights attorney Tad Delegal, who is not associated with the case, said there are things in place to help protect employees if this happens to them.
He said that when a business files for bankruptcy, employees are protected the most.
"You're going to have a lot of financial uncertainty with a company and certainly there is going to be efforts to pay this creditor and that creditor and you're going to have difficulty, so it's not unusual for there to be some problems with the account," Delegal said.
Delegal also had some advice for Nippers' employees.
"The employees need to make sure there is a plan for the company to continue. That there are assets to pay the employees. That the company is continuing to operate. But as long as the company does continue to operate and there does continue to be cash flow, then the employee should be safe in continuing to work for that company."
