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C. Wonder Sued by Laid-Off Employees

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Another day, another class-action lawsuit filed on behalf of disgruntled former employees.

C. Wonder, Chris Burch’s now-defunct purveyor of monogrammed home goods and apparel, is being sued for failing to give its employees at least 60 days notice of their job termination.

A complaint filed Friday in a New Jersey bankruptcy court accuses the retailer of violating the federal Worker Adjustment and Restraining Notification (WARN) Act and New York’s labor laws, according to a Law360.

C. Wonder announced Jan. 5 that it was closing all of its stores and filed for Chapter 11 bankruptcy protection two weeks later. The complaint alleges that none of the company’s employees received advance notice prior to their termination.

Additionally, the suit claims at least 100 former workers (not including any part-time employees) are owed wages, salary, commissions, bonuses, accrued holiday pay and accrued vacation for 60 days following their respective terminations, as well as 401(k) contributions, health insurance coverage and other benefits under ERISA (Employee Retirement Income Security Act) for the appropriate amount of time.

Lead plaintiff Monique Carter is seeking up to $12,745 in wages as a priority claim and the remainder will be considered a general unsecured claim, as per the lawsuit, which also seeks relief for the other laid-off workers.

The complaint comes one week after C. Wonder asked a New Jersey bankruptcy judge to extend its Chapter 11 exclusivity period beyond May 22 because, according to court documents, it needs more time to iron out its liquidation plan.

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