Tag archive for ‘Bankruptcy Procedure’
Executory contracts and unexpired leases.
by Richard Stokan on 8/31/10 | 0 Comment(s)
The bankruptcy petition includes a section for executory contracts and unexpired leases. I have been asked by several debtors what is an executory contract and unexpired lease? The simple answer is that an executory contract is an agreement between two parties where neither party has fulfilled its obligations under the contract. An unexpired lease is [...]
Presumption of Abuse Dismissal – Failing the Means Test
by Richard Stokan on 7/26/10 | 0 Comment(s)
The quickest way to have your Chapter 7 bankruptcy petition dismissed is to fail the means test. A debtor who fails the means test raises a rebuttable presumption of abuse. In the event a presumption of abuse exists, 11 U.S.C. § 707(b)(2) authorizes the court, US trustee or any part in interest to file a motion [...]
Bankruptcy Can Be Involuntary
by Richard Stokan on 7/12/10 | 0 Comment(s)
Although most people are familiar with voluntary bankruptcy, a debtor can be forced into an involuntary bankruptcy. Under certain circumstances, creditors can initiate a Chapter 7 or Chapter 11 bankruptcy case by filing an involuntary petition against the debtor. Before creditors can initiate an involuntary bankruptcy, a debtor must have 12 or more creditors, three [...]
Modifying a Chapter 13 Plan After Confirmation Can Be Challenging
by Drew Broaddus on 6/18/10 | 0 Comment(s)
As discussed previously here, Chapter 13 Bankruptcy is referred to as a wage earner’s Plan. It enables individuals with regular income to develop a repayment plan for all or part of their debts. Under this Chapter, debtors propose a plan to make installments to creditors over three or five years. If the debtor ’s current [...]
Meeting the Bankruptcy Trustee
by Richard Stokan on 6/07/10 | 0 Comment(s)
After filing for bankruptcy protection, your first contact with the court will be at a meeting of the creditors, commonly called a 341 hearing after the section of the bankruptcy code. The hearing is an opportunity for the bankruptcy Trustee and any creditors who may be present, to question you regarding your petition. Although the [...]
Bankruptcy and Appeals
by Drew Broaddus on 5/28/10 | 1 Comment(s)
In most consumer bankruptcies (i.e., non-business bankruptcies), there will be no adversary proceedings, challenges to discharge, or other contested issues and in turn, no issues for you or anyone else to appeal. However, every case is unique, and any bankruptcy could require the bankruptcy court to rule upon certain issues. If a party in interest [...]
When Can Credit Card Companies Challenge Your Discharge?
by Drew Broaddus on 5/21/10 | 1 Comment(s)
Nearly all of the individuals who visit our office have concerns about credit card debt. While this type of debt can typically be discharged through a Chapter 7 bankruptcy, this is not always the case. Credit card issuers sometimes challenge the discharge of their debt in bankruptcy by filing a lawsuit in the bankruptcy court [...]
Documentation Required to File for Bankruptcy
by Richard Stokan on 5/17/10 | 0 Comment(s)
In these economic times, more people with retirement accounts and significant assets are inquiring about filing for bankruptcy protection. One of the most frequent questions I am asked is what documentation do I need to file for bankruptcy? The simple answer is, if it is listed on the bankruptcy petition you need documentation. Although it [...]
State vs. Federal Exemptions: What is the Best Way to Protect My House If I File Bankruptcy?
by Drew Broaddus on 5/14/10 | 0 Comment(s)
In 11 U.S.C. § 522(b), Congress provided that a state may choose the exemption scheme available to any debtor filing for bankruptcy relief within its borders. For example, debtors filing bankruptcy petitions in Ohio and Tennessee are not eligible to claim the federal exemptions enumerated in § 522(d) because the state law applicable to those [...]
Filing An Adversary Proceeding to Discharge Student Loan Debt
by Drew Broaddus on 5/07/10 | 1 Comment(s)
Student loans are not usually discharged in Chapter 7 bankruptcy. It is difficult, but not impossible, to do so if you can show that payment of the debt “will impose an undue hardship on you and your dependents.” See 11 U.S.C. § 523(a)(8). Whether a student loan is discharged based on hardship is not automatically [...]
