The marital settlement agreement that resolves a divorce often divides the debts between the couple. Simple, so far. But if the agreement includes an indemnification provision, you may have a bankruptcy issue that limits the breadth of the discharge or drives the choice of chapter. Hold harmless provisions The typical indemnification provision requires each spouse […]
Is The Price Right?
What’s it worth? Another round of bankruptcy newbie questions suggests it’s time to review small business valuation questions. Our hypothetical debtor supports his family working in an incorporated business that he wants to continue operating. He is the only shareholder. The scenario that prompted this post had the debtor reporting to his lawyer that the […]
RTFM*
I know gambling debts are non dischargeable, so we can’t convert the Chapter 13. So said debtor’s counsel whom I was trying to help with a troubled case. I wanted to retort: point me to the code section that says that. I tried gently to suggest it wasn’t so. Not sure the “suggestion” penetrated. So […]
Bankruptcy For Elders: Minefield or Mother Lode?
I commend to you the money problems of the elderly as challenging and underserved. The 70ish couple in my office came with their two adult daughters. Neither spouse appeared in good health. The good news was that they had substantial equity in their home; the bad news was that the equity exceeded the California homestead […]
Who Is The Liar Here?
The mortgage mill lawyer on the other end of the phone tried to tell me my client is a liar. I bristled, but not for the insult. I bristled for the whopper opposing counsel was trying to feed me. Lenders don’t reject loan mod applications because the borrower is current, he said. You know that’s […]
The Bankruptcy Rules Of The Road
Do you need to know how much notice to give on a chapter 13 plan? What happens when a debtor dies? How to file a proof of claim or object to one already filed? When is discovery allowed in bankruptcy? The answers can be found in the bankruptcy rules. Rules: The How To Manual The […]
Axe Falls On Debtor’s Counsel
Just when I think my work here is done, I have a week like last week. Everywhere I looked, the ax was falling on debtor’s counsel. Deservedly so. My Chapter 13 trustee complains that her staff is knee deep in debtor lawyer inattention and mistakes. The UST brings disgorgement motion against lawyer who took fees, […]
