Bankruptcy Law Network

Automobile Accident Claims in Bankruptcy: The Often-Overlooked Federal Personal Injury Exemptions

In consumer bankruptcy cases where the debtor has an unresolved personal injury claim, or no-fault insurance claim, arising from an automobile accident, don’t forget to utilize all available sections of the federal bankruptcy exemptions to protect the debtor’s right to compensation. Sections 522(d)(10) and 522(d)(11) contain a veritable gold mine of exemptions which are often [...]

Mainstream media feeds bankruptcy misinformation

It’s not just dubious sources that are feeding the misconceptions about bankruptcy, it’s the big boys. Business Week and AP both had stories this week replete with erroneous explanations and dubious analysis about bankruptcy relief after BAPCPA. Business Week stated that fewer consumers can get relief from debt in bankruptcy. Fewer people filed after [...]

Bankruptcy Is Not A Last Resort (Redux)

There are many worse things than filing for bankruptcy, and the notion that bankruptcy is a “last resort” is no longer good advice. I now put this in the category of “Myths About Bankruptcy”. Many people wait too long seek bankruptcy protection way, and give up things like their homes or retirement accounts that could [...]

Maine Bankruptcy Court Sanctions Credit Union for Stay Motion

Judge Haines of the Maine Bankruptcy Court in re Hutchins, 393 B.R. 257 (Bankr.D.Me 2008) sanctioned a credit union for bringing a motion for relief from the automatic stay that was subsequently withdrawn. The credit union had failed to comply with local rules requiring a conference before the filing of the motion. The court noted [...]

Criminal Prosecution Exception to Stay Ruled Absolute

Judge Rosenthal of the Massachusetts Bankruptcy Court today ruled against a debtor seeking redress for alleged violations of the automatic stay that occurred in the course of a criminal prosecution for larceny. The debtor was a contractor who allegedly did not perform certain work for which he allegedly was paid. After the bankruptcy case was commenced, [...]

Must a Chapter 13 Debtor Report Property Received During the Case?

A chapter 13 case can last up to to five years — a long time. What happens when the debtor receives a windfall while the chapter 13 case is pending? What if the debtor wins a $50,000 lottery payout, or inherits an interest in a house owned by a long lost relative? Is the debtor required [...]

Jealousy Leads To Bankruptcy.

When analyzing the cause of bankruptcy more often than not it is jealousy that leads to bankruptcy. Credit card debt is more often than not due to people charging things that they cannot afford to pay cash for the purchase. Additionally the charges are for things that the person does not need. So where [...]

Credit Reports after Discharge: What Should be Reported?

Generally speaking, upon Bankruptcy Discharge, credit reports should report a $0.00 balance on all debts that were discharged. They should also state “Discharged in Bankruptcy” or other similar language for each account discharged. Finally, there should be no additional reporting after the bankruptcy filing date. Unfortunately, this is not always the case since reporting a balance [...]

Separated Spouses With the Same Attorney

Bankruptcy attorneys across the country are vigorously split over the practice of representing separated spouses. Those in favor point out that it is permitted, even contemplated by the Bankruptcy Code, and it allows debtors of limited income and assets to save bankruptcy fees and costs. Those opposed reach that position because of potential or actual [...]

Biden, McCain, Palin, Obama and Bankruptcy

Below is information that I have been able to gather with respect to the candidates about their views on bankruptcy. This article is NOT a political comment nor does it seek to convince you either way. I have always said that knowledge is power and now more than ever you must seek knowledge about the [...]