A tale of 2 seniors in financial distress
Chapter 7 for senior No. 1 Senior one is 73. He has been separated from his wife for 30 years but not divorced. So, for all intents and purposes, he…
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Is bankruptcy right for you?
SURE, there are alternatives to bankruptcy. But bankruptcy is the only solution that provides viable debt relief for those who are unable to repay their debts. Some people sign up…
Seniors need Chapter 13 as they retire
THE seniors are husband and wife aged 70 and 65. The wife is a young and healthy 65, while the husband is a healthy 70 who still looks strong. Both…
One senior qualifies for Chapter 13, while another gets Chapter 7. Why the difference?
THE first client is 82. He is married. “What’s the problem?” I ask. He says that he owes about $15,000 of credit cards and his wife owes about $10,000 of…
Client needs Chapter 13 relief for $36K taxes, $80K unsecured debt
THE client is 50 and single but has a cousin who lives with him. The cousin has been employed on and off and has lived with him for 10 years….
New retiree chooses Chapter 7 fresh start to wipe out $45K credit cards
THE client just turned 67 and has been working for 40 years at a job that pays him $70K a year. He retired two months ago so he doesn’t make…
3 different Chapter 7 cases
FAMILY of 3: $40,000 credit cards owed Client no. 1 is so young. She is in her late 30s. I remember when I was that young —a young lawyer with…
Clients seek to discharge $100K and $30K credit cards
Qualify for different chapters of bankruptcy code Most debtors prefer to have a Chapter 7 wipe out of debt. This is called a fresh start without debt. Most debtors who…
Chapter 7, 13 or debt settlement? Client with $40K in credit card debt examines the differences
THE client is 42 and is going through a divorce after a short two-year marriage. He has moved out of the marital home and now lives by himself. He has…
Young client chooses Chapter 7 as business dies with $80K credit cards owed
THE client is young in his 50s. Believe me, that’s young. This is not only mentally young, but physically, 50s is still quite young. It is said that the 60s…
Is client liable personally for company lease of warehouse? Company opts for Chapter 7
THE landlord of the warehouse leased by the client’s company has filed a lawsuit to collect $300,000 of unpaid rent from the company. The question that immediately comes to mind…
What are the common questions about bankruptcy? Here are some answers
IS there a constitutional right to file for bankruptcy? Yes, there is. The United States Constitution adopted 250 years ago provides for the creation of bankruptcy courts and the power…
Client maxes out credit cards to $75K during pandemic as unemployment benefits are insufficient
WHO would have thought that we would have to go through a pandemic of these proportions in our beloved America during our lifetime? It’s not even mildly implied in the…
The Fair Debt Collection Practices Act
THE Fair Debt Collection Practices Act (FDCPA) is a federal law that was enacted in 1978 by the United States Congress to protect consumers from abusive debt collectors. Note, however,…
Repo deficiency causes senior to seek Chapter 7 relief
THE first client is 75. Her husband passed four years ago and left her with $30,000 of credit card debt. She has been making minimum payments on their credit cards…
What are the common questions about bankruptcy? Here are some answers
IS there a constitutional right to file for bankruptcy? Yes, there is. The United States Constitution adopted 250 years ago provides for the creation of bankruptcy courts and the power…
Client needs bankruptcy to get rid of accumulated debt from failed business
THE client is 53. He is married and owns a house. He used to have a business, which was a DBA sole proprietorship. “DBA” means “doing business as.” Sole proprietorship…
Landlord with $400K judgment vs commercial tenant proceeds against guarantor
WHAT are friends for? Friends, of course, like to help each other. But to what extent and what favors can you ask from a friend? The client’s friend wanted to…
Senior needs fresh start Chapter 7 for $80K credit cards after becoming a widow
THE client is 67. Her husband passed away five years ago after a long fight with kidney failure. He was on dialysis for eight years waiting for a kidney transplant….
Senior needs Chapter 13 to protect house from creditors of a failed business
THE client is 71. Her husband died five years ago, so she lives with her unmarried son who does not have full time or steady employment. She has a large…
S corporation signed a commercial lease. Is the owner personally liable for $500K?
THE client is 48. He owns an “S” corporation that has been operating for 15 years. The corporation provides a service to the public in several shopping malls. Business has…
Sole proprietors need Chapter 7 relief for $280K credit cards and $80K commercial lease
THE clients are a husband and wife in their mid-60s. I asked them if they have started receiving social security benefits, and sadly they told me that they migrated less…
Business owner needs Chapter 7 relief for $100K credit cards
THE first client is in his 40s, married with two children, ages 8 and 9. He doesn’t own a house. The absence of a house makes eligibility analysis easier. If…
Client still liable for retail lease of $2M despite selling business 3 years ago
THE middle-aged client owned a retail business for some time. The business was located in a good location so the lease was for $10,000 a month. The company that he…
Trustee, debtor mutually dismiss adversary claims for $1-M
THE client’s company filed for Chapter 7 relief as it was bankrupt. It had two warehouses and rent for one was $15,000 a month, while the other was $20,000 a…
Uber driver needs Chapter 7 relief for $50K credit cards
THE client is in his 50s. Believe me, 50s is still young. He has been divorced more than 10 years ago and now lives by himself. He used to own…
Senior passes away right after Chapter 13 plan confirmation
AT 90 years old, this senior was my oldest client. Everything came crashing down on him during his golden years unfortunately. He had a business, which looked like it never…
Pay commercial rent payment or file Chapter 7 for a fresh start with no debt?
“Now is the time for kindness and our humanity to shine forth, to help each other not get sick, by wearing face masks, gloves and self isolating and helping our…
Unable to pay commercial lease due to coronavirus
THE clients are a husband and wife in their sixties. They operate a retail business that provides a service. There is no corporation or LLC. In other words, clients are…
Client relieved she chose Chapter 7 instead of consolidation of $60K credit cards
THE client is 50 and has two grandchildren living with her who are teenagers still in high school. She is married but separated. She is not divorced from her husband….