Expert Bankruptcy & Debt Relief Insights

Under the United States Bankruptcy Code, or the Code, individuals who are in debt can attain debt relief through Chapter 7, 11, or 13. Most commonly, individuals will file for either a Chapter 7 or Chapter 13, while businesses commonly file Chapter 11. Nonetheless, under certain circumstances, individuals will utilize the Code through a Chapter…

The United States bankruptcy code provides the honest debtor with the ability to attain a fresh start. Provided that a debtor meets all applicable rules and standards of bankruptcy, he or she can first stop collections through the automatic stay and upon completion of the bankruptcy process, be discharged of debts owed. The automatic stay…

The devastating effects of divorce often intersect with bankruptcy law. Couples who reside together share certain costs, like housing, food, bills, and more. When people split and go their separate ways, such expenses are not shared, leading to an increase cost of living expenses. This increase intensifies financial stress, wherein the parties have increased living…

One feature of the Bankruptcy Abuse Prevention Creditor Protection Act, or BAPCPA, was the creation of the 341(a) meeting of the creditors. The purpose of this meeting is to allow the trustee to verify the accuracy of the bankruptcy petition and to give the creditors a forum to discuss the petition and ask questions. Every…

Imagine a debtor who owes $500, $100 to each of Creditor A, B, C, D, and E. The debtor has $100 in his pocket. The debtor takes that money and gives it to Creditor A, thereby satisfying his $100 debt to Creditor A. In theory, the debtor could have given the same money to any…

Bankruptcy Through the Ages In ancient Rome, debtors who were unable to pay off their debts faced a cruel and harsh bankruptcy system. The creditors would seize all their property and sell it to one person. If that did not satisfy the debt, the debtor would still owe the remaining sums. The debtor would be…

The 2011 United States Supreme Court ruling in the case of Stern v. Marshall has both a practical bankruptcy angle and Hollywood flair. That case concerned the longstanding litigation between Vickie Lynn Marshall, known to the public as Anna Nicole Smith, and Pierce Marshall, the son of Vickie Lynn Marshall’s former husband, J. Howard Marshall.…

Origins of Bankruptcy It is said that the term “bankruptcy” is rooted in Italian merchant markets wherein indebted peddlers who sold their wares on a bench had their benches broken. Banka rupta, or broken bench, became the symbol for indebtedness. Etymologically related to banking when bankers lent money and traded currencies on a bench, bankruptcy…

Upon filing a bankruptcy case, “all legal or equitable interests of the debtor in property as of the commencement of the case” becomes the property of the bankruptcy estate. If bankruptcy estate property is to be sold, such a sale is termed a “363 sale,” or a bankruptcy sale. A 363 sale is based on…

The old adage is that it takes money to make money. When an individual borrows money for a business venture, that individual will be responsible for paying back the loan. The same is applicable for an individual who borrows money for home improvement, a vacation or any other reason. Like other creditor-debtor relationships, borrowing money…