Axium Promises Seamless Transition
Since Popsquire last wrote about the Axium Entertainment shut down, two important pieces of information have surfaced. According to the LA Times, Axium filed for Chapter 7 Bankruptcy due to a “liquidity crisis,” and a company representative stated that there would be a “seamless” transition of payroll services to competitor payroll companies.
Popsquire’s perspective…
If the shut down was due to an unforeseeable liquidity crisis, it’s possible that Axium may not be required to comply with the advance notice requirements that Popsquire discussed in this previous post. Of course, it depends on the particular facts of any alleged unforeseeable event that may have led to the shut down.
If the transition is seamless and if people are paid, Popsquire will be happy to report good news. If people are not paid, however, Popsquire predicts a legal predicament. It may be the studios that take a hit because, if they are the employers, then they likely are ultimately responsible for making sure people get paid, regardless of Axium’s shut down.
If you have any knowledge of the reality of this transition, talk to Popsquire.
[digg=http://www.digg.com/business_finance/Axium_Promises_Seamless_Transition]
