Real danger for client and lawyer lurks in the emergency bankruptcy petition: File without all the information about the client’s assets and recent transfers and you risk getting family members sued and the client losing assets. Not to mention your loss of face or worse. Avoidable transfers Chapter 5 of the Bankruptcy Code deals with […]
Do Your Bankruptcy Schedules Tell the Client’s Story?
The last check before you file your client’s bankruptcy schedules should be a step back to see if the schedules “tell the story”. The background and the color don’t make it to schedules and SOFA, but you need to read them from the trustee’s point of view to see if they make sense and reflect […]
Exemption Choices for the Recently Mobile
Old and new consumer bankruptcy lawyers have a treasure in John Bates’ masterpiece on the exemption laws of each state and the availability of those laws to non residents in bankruptcy. Why do I care what the exemptions are in any state but California? The Bankruptcy Code! ( what other answer did you expect from […]
Means Test & Creditors Claims: Enough is Enough
When the means test projected disposable income number is greater than 100% of the unsecured claims, full repayment is sufficient. The means test calculation only kicks in under §1325(b) if a party objects; no one objects to repayment of everything that is owed. A new bankruptcy attorney brought me a B 22 form for a […]
When To File Bankruptcy
When to file bankruptcy turns out to be just as important as whether to file. I saw it playing out in a single day in my office. All three consultations on Friday featured clients intent on filing bankruptcy IMMEDIATELY. Each of them was certain that they had no time before some disaster would befall them […]
Getting the Most from the Means Test
When the means test look-back period for a well paid individual includes the end of the year, a bankruptcy lawyer cannot rely on the paystubs to define the tax deductions. That’s because contributions to Social Security and other some other taxes are capped at certain income levels. Wages above the cap are not subject to […]
Fixing the Omission from the Schedules
Twice yesterday new bankruptcy practitioners asked about how to deal with debts or assets not listed in the debtor’s original schedules. The answer in either situation is amend the schedules. As soon as you know that the schedules are not accurate on a meaningful issue, make them accurate. Creditor left out For an omitted creditor, […]
