Chapter 7 Bankruptcy

Bankruptcy and Tax Debt: What Happens to Tax Debt in Bankruptcy

06/27/11

If I had a nickel for every time I am asked this question, I would have a lot of nickels. The elimination of tax debt in bankruptcy can be a little tricky, and I often like to meet with clients to go over the necessary documents together before I make the assessment of whether or [...]

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Kansas Supreme Court stops keep and pay the fourth option in Kansas, no more not reaffirming.

06/25/11

We used to tell clients that there was no need to reaffirm in Chapter 7, just keep making the payments and the lender will not repossess.  This way you do not have any personal liability and you can walk away if the car is destroyed in an accident or you can no longer afford it. [...]

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Anna Nicole Smith will live forever in stunning new Supreme Court decision in Stern v. Marshall!

06/24/11

The Supreme Court issued a second opinion arising from the seemingly endless litigation over claims against the estate of the late Pierce Marshall (Anna Nicole’s elderly husband of one year before his death).  In this 5-4 split opinion released yesterday (June 23, 2011), the Supreme Court significantly limited the scope of Bankruptcy Courts’ jurisdiction to [...]

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Depression, Financial Ills and Bankruptcy

06/24/11

Recently in San Diego, two extreme examples of apparent financial woes have led to tragic ends. http://www.signonsandiego.com/news/2011/jun/07/services-held-two-familie... http://www.signonsandiego.com/news/2011/jun/22/court-documents-show/ I am not trained in the matters of the impact of financial burdens on one’s mental health. I am a counselor, however, a counselor at law. As such, one of my primary duties is to listen to [...]

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Debts That Are Eliminated By Filing Chapter 7 Bankruptcy

06/24/11

Filing chapter 7 bankruptcy allows you eliminate your financial problems by reselling the non-exempt property and using the money to repay the debt amounts. According to chapter 7 laws, you need to handover your non-exempt asset to the court appointed trustee. Then the trustee trades these assets to pay the money you owe. For filing [...]

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Chapter 7 Bankruptcy

06/24/11

Declaring a chapter 7 bankruptcy lets you eliminate your financial troubles through reselling the non-exempt asset and utilizing the money to repay the overdue amounts. By which you should give all non-exempt asset to the court hired trustee. Then a person may trade these assets to settle the money you owe. So as to file [...]

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Why the Supreme Court’s Anna Nicole Smith case may be the beginning of the end of the bankruptcy judge system as we know it

06/23/11

The Supreme Court in the Stern v. Marshall case 10-179 decided on June 23, 2011, declared unconstitutional a bankruptcy judge’s entering a final judgment in a tort claim that is non-core.  The Court ruled that consent was irrelevant to the authority of an non-Article III bankruptcy judge to exercise judicial power by rendering a final [...]

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Chapter 7 Bankruptcy Help

06/23/11

I have noticed a trend lately that Chapter 7 bankruptcy trustees have been asking to see the signed ECF Declaration at the 341 meeting of creditors.  This is not an item that is listed as required on the Form B9A for presentation at the meeting.  Further, this is a filed document that trustees can access [...]

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What to do if a creditor sends you a Form 1099 trying to make income out of your discharged debt

06/22/11

Creditors who were discharged in bankruptcy are not supposed to send you 1099 forms because a bankruptcy discharge is not a taxable event.  Some do it in and out of bankruptcy in order to get you to pay a debt.  I think it is a violation of the automatic stay if done during the bankruptcy [...]

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Assessing Your Financial Situation Pre-Bankruptcy

06/22/11

Often, people wait too long to file bankruptcy.  Considering bankruptcy to be a last resort is probably a wise thing to do, and there are often many things an individual can do to prevent bankruptcy.  However, waiting too long can mean that bankruptcy protects less of your assets than it might otherwise be able to, [...]

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