k,
I think the advice of "family matter" is right on. I would, and this is speaking from an employer's point of view, never lie about it. One poster suggested saying your were downsized. As a prosepctive employer, he may call to verify employment, etc. If they said you took a leave and you say you were downsized, you would be out of the running in a heart beat. The truth, without details, is always the best way.
Have a script in your mind for exactly what you are going to say should this come up again - but here's hoping it doesn't and you get the job!
Sharon