Someone asked me the other day how I keep up on cases. I bit my tongue, since my usual sense about advance sheets and the like is that I’m horribly behind. (I’m so behind I’m talking about “advance sheets”, cases printed on paper!). Reading my email seems to consume a disproportionate portion of the day. What advice could I possibly have about being current? OK. If you need an answer, it’s obviously that I read. It’s not always the cases themselves, but what other lawyers have written about them. Yeah, I’m getting my stuff second hand. Such is life, at least mine. Try this list: National Consumer Bankruptcy Rights Center, NACBA’s offspring. Tara Twomey and her cohorts find the stuff that’s most important to us as bankruptcy lawyers. ConsiderChapter13.org I think it a real shame that most of this highly useful content, including the stuff I write for them, is behind a pay wall. BankruptcyLawNetwork My buds at BLN have a toe in lots of different courts, so important stuff bubbles to the surface here. 9th Circuit BAP opinions Insert your own BAP or Circuit Court ABI’s monthly publication It’s frustratingly skewed to Chapter 11, but there are consumer nuggets nonetheless. It also is a membership benefit, so there’s money involved. I have a Lexis Nexis alert set up to point me to new means test cases, since that’s a subject I write and speak about frequently. Beyond that, my knowledge is random. I’m headed back to preparing for my gig next weekend with Jay Fleischman on marketing and managing a bankruptcy practice. I may be scarce here for the next week. Image courtesy of Horia Varlan. No related posts.
Bankruptcy lawyers find themselves thrown under the proverbial bus time and again. Clients contradict themselves, trustees speak poorly of us during hearings, and even judges from time to time have been known to call us on the carpet for perceived shortcomings. Sometimes we’re caught in a position due to an unforeseen turn of events. Other times, we end up stepping under the bus because we weren’t paying attention in the first place. There are, thankfully, a few simple rules to help you stay away from the tire treads as the bus rolls by. The Initial Consultation My good friend Susanne Robicsek told me years ago that she asked her client during a consultation whether he had a sofa. When he said that he didn’t, she asked if he had a couch. Of course, came the response. It’s important to spend as much time as is necessary on the initial consultation, working through not only the questions that will need to be answered on the Statement of Financial Affairs but on every aspect of the petition and schedules. Ask the same question ten different ways, not because your client is looking to trip you up but because real people use different words than do bankruptcy lawyers. Even the most common terms – debt, creditor and property – have different meanings to our clients. Pick Up Tidbits From Other Fields Bankruptcy lawyers need to have a working knowledge of other areas of law. Family law, tax, personal injury and immigration spring to mind. Without knowing enough to spot the issues, you’re asking for trouble. Let’s say your client has equity-laden rental property and decides to sell it to pay off debts. Without a working knowledge of tax law, you’re going to find out the hard way that selling an asset doesn’t necessarily translate into pure profit. Document Your Conversations Some lawyers have their clients fill out lengthy packets in the run-up to filing for bankruptcy. If that works for your client base, by all means keep on going with that practice. For the people I help, packets are unproductive. That’s why I document every conversation, keeping detailed notes. If I’m on the phone with a client, I record it (with disclosure to the client) and save the audio file. The client gets a copy of it as well. As with the consultation, I do this because clients live in a world that differs from mine. They’re confused, scared and depressed – and that clouds their memories and thoughts. Keeping records and notes to share with my clients gives them the opportunity to review them later on and, if need be, make corrections to the information they provide to me. Measure Twice, Cut Once In carpentry, you’re supposed to measure the wood twice before you take a saw to it. That reduces the number of errors. So, too, in bankruptcy work. Review the draft petition twice – once on your own, once with your client. Yes, it takes longer that way. Yes, your client’s unfamiliarity with the legal terminology will make it take even longer. Still, it’s the only way to ensure that the documents that get filed with the court accurately reflect your client’s state of affairs. Sidestep When Necessary No matter how hard you try, there will be something that gets past your watchful eye from time to time. Some clients are less than forthcoming, others simply too befuddled to be reliable. In those situations, consider whether it’s a good idea to withdraw from representation. Remember that your reputation is too important to risk on a single bankruptcy case. Your career will be a long one, and you’ll need to rely on that reputation from time to time. Don’t squander this valuable currency. Jay S. Fleischman is a bankruptcy lawyer and legal marketing consultant for bankruptcy lawyers. In his spare time, he thinks up new ideas to minimize his spare time. Image credit: Earls37a Like This Article? You'll Love These! Clients to avoid: those with bankruptcy-adverse spouses Avoid Probate: Lose The Property In Bankruptcy Instead Number One Reason to Avoid Taking a Chapter 11
A Chapter 13 Bankruptcy generally lasts for a period of five years. As we all know a lot can change in a five year period. Over the course of five years debtors may marry, have children, need to purchase a vehicle, or even suffer damage to a home or vehicle already owned. If a debtor becomes entitled to insurance proceeds while in bankruptcy he should notify his attorney as soon as possible. The general rule is that if a debtor becomes entitled to any sum of money it must be turned over to the bankruptcy trustee to be distributed to creditors. Common sources of money that need to be disclosed, and potentially turned over, include money or property from an inheritance, tax refunds, insurance proceeds and so on. As a rule of thumb, if you receive any money you should inform your attorney. If you want to keep the money that you are entitled to you can file a motion to retain the proceeds. This will have to be submitted to the court and it is generally set on negative notice. This means that your attorney will submit your motion to retain and if no one objects to the motion within 21 days you will be able to keep the money received. Any number of people may object, including the trustee and/or one of your creditors. It is important to note that if you receive insurance proceeds for property, i.e. a vehicle, and there is a total loss any existing loan balance has to be paid off before any funds would be released to you if your motion to retain is successful. If you would like to retain insurance proceeds your attorney will need a number of things to prepare your motion to retain. Your attorney will need to know how much money you will be receiving for the property. If the property is not a total loss and just needs repairs your attorney will need to know the estimated cost of repairs. It is best if you can provide a written estimate from a qualified individual to your attorney to file with the motion. If the property is a total lose (i.e. a vehicle that you are not keeping) your attorney will need to know how you intend to spend the money received. Perhaps you need to replace your vehicle. Again, it is best to provide written figures for how you will spend the money. If you would like to purchase a new car with a loan your attorney will also need to submit a motion to incur debt. Please keep in mind that this process will take time. The motion will be submitted and it will be at least 21 days before a decision is made. From there your attorney will have to submit an order and the judge will need to sign the motion. If you have questions, or would like to set up a free consultation, contact a St. Louis Bankruptcy Attorney today.
<p>A Chapter 13 Bankruptcy generally lasts for a period of five years. As we all know a lot can change in a five year period. Over the course of five years debtors may marry, have children, need to purchase a vehicle, or even suffer damage to a home or vehicle already owned. If a debtor becomes entitled to insurance proceeds while in bankruptcy he should notify his attorney as soon as possible. <br /> <br />The general rule is that if a debtor becomes entitled to any sum of money it must be turned over to the bankruptcy trustee to be distributed to creditors. Common sources of money that need to be disclosed, and potentially turned over, include money or property from an inheritance, tax refunds, insurance proceeds and so on. As a rule of thumb, if you receive any money you should inform your attorney. <br /> <br />If you want to keep the money that you are entitled to you can file a motion to retain the proceeds. This will have to be submitted to the court and it is generally set on negative notice. This means that your attorney will submit your motion to retain and if no one objects to the motion within 21 days you will be able to keep the money received. Any number of people may object, including the trustee and/or one of your creditors. <br /> <br />It is important to note that if you receive insurance proceeds for property, i.e. a vehicle, and there is a total loss any existing loan balance has to be paid off before any funds would be released to you if your motion to retain is successful. <br /> <br />If you would like to retain insurance proceeds your attorney will need a number of things to prepare your motion to retain. Your attorney will need to know how much money you will be receiving for the property. If the property is not a total loss and just needs repairs your attorney will need to know the estimated cost of repairs. It is best if you can provide a written estimate from a qualified individual to your attorney to file with the motion. If the property is a total lose (i.e. a vehicle that you are not keeping) your attorney will need to know how you intend to spend the money received. Perhaps you need to replace your vehicle. Again, it is best to provide written figures for how you will spend the money. If you would like to purchase a new car with a loan your attorney will also need to submit a <a title="Motion to Incur Debt" href="http://www.lickerlawfirm.com/blog/can-i-buy-a-new-car-while-in-chapter-13-bankruptcy.cfm">motion to incur debt</a>. <br /> <br />Please keep in mind that this process will take time. The motion will be submitted and it will be at least 21 days before a decision is made. From there your attorney will have to submit an order and the judge will need to sign the motion. <br /> <br />If you have questions, or would like to set up a free consultation, contact a<a title="St. Louis Bankruptcy Attorney" href="http://www.lickerlawfirm.com"> St. Louis Bankruptcy Attorney </a>today.</p>
Myths and Truths About Chapter 7 Bankruptcy, Part IV Myth: A debtor can dismiss a Chapter 7 bankruptcy if the Trustee finds assets.Truth: In a Chapter 7 bankruptcy, it is not possible to voluntarily dismiss your case if the Trustee finds assets. Generally, a debtor can voluntarily dismiss their case before discharge if they change their mind about filing the bankruptcy; however, this is not the case if the Trustee has found assets. When a bankruptcy is filed, the debtor has an obligation to list any property they have at the time of the filing and the value of said property, as well as any pending insurance claims, inheritance, and personal injury claims, etc. If the Trustee determines that the personal or real property has a higher value than the debtor originally assessed or if the Trustee finds assets that were not listed in the bankruptcy petition, the Trustee can seize the assets if they are not exempt. In order to prevent this from happening, many debtors request to voluntarily dismiss their case without discharge so they may retain their assets. This is not a possibility. If a Trustee finds unexempt assets in a Chapter 7 case, debtors are unable to dismiss their case voluntarily. That is why it is so important for debtors to accurately disclose their property and assets (present and future) to their attorney and on their bankruptcy petition before filing. Myth: If a debtor does not list something on the bankruptcy petition, the Trustee will not find out.Truth: It is essential for debtors to disclose all income, assets, and property, as well as the accurate value, on their bankruptcy petition and to disclose this information to their attorney. It is also important for debtors to list any transfers, money paid to family members or friends, payments to creditors, etc. The trustee completes their own investigation into the debtor's petition. They can check what property the debtor has and the value of the property. They can also find out about transfers of property and the recipients of transferred property. Trustees can require an appraisal of real or personal property if they believe the value listed is too low. They sometimes even wish to view the property personally. They can also look at bank accounts to determine if money was taken out or given to someone else or if income was earned but not reported. The Trustee will ask debtors questions under penalty of perjury. For this reason, it is essential to disclose fair, honest, and accurate information on the bankruptcy petition and schedules. If you have any questions, please contact a St. Louis or St. Charles bankruptcy attorney.
When considering filing for bankruptcy there are a number of things to consider. Some of them will be related directly to paperwork, but many of the factors will be life decisions that might not seem related to your bankruptcy on its face. One such example is the decision to relocate to a different state. Moving within a state will not cause you any problems with filing, but if you are retaining an attorney you may want to see if that attorney will be able to handle your case after your relocation. If you are staying in the same general area it shouldn't be a problem, but if you are moving a considerable distance you might be outside of your attorney's practice area or even outside of where your attorney is licensed to practice. If you are considering filing for bankruptcy and may be moving out of a state there are a number of factors to consider. First, you must be a resident of a particular state on the day of filing to file in that state. So, if you retain an attorney in Missouri and then move to Kansas before your case is filed you will have to find other representation. Not only do you have to live in the state on the day of filing, but you must have lived in the state for the greater part of the 180 days leading up to bankruptcy. Basically, you must live in the state for 91 days or more prior to filing. If it is imperative that you file right away you may want to consider filing in your current home state prior to moving out of state. If you are considering filing for bankruptcy in a state that you have not lived in for at least two and a half years you will want to notify your attorney of this as soon as possible. This does not mean that you cannot file, it simply means that the exemptions you will use might be different that the state you live in. This is not a problem, and does not mean that you cannot file, it just means that your attorney may have to do a bit of research to determine what exemptions apply. Depending on the circumstances you may use the exemptions from a state of prior residence or federal exemptions. If you have not lived in the state for at least two and a half years your exemptions will be based on the preference of the state that you lived in for the greater part of the six months prior to the two years prior to filing for bankruptcy.If you have questions, or would like to set up a consultation, contact a St. Louis Bankruptcy Attorney Today.
Myths and Truths About Chapter 13 Bankruptcy, Part IV Myth: If a house is jointly owned and in foreclosure, both parties on the loan must file Chapter 13 bankruptcy in order to save the house from foreclosure.Truth: Both parties on the loan do not need to file bankruptcy in order to save the house from foreclosure. It is very common for a house to be owned jointly, especially by a married couple. Many people think that because both names are on the loan, both people on the loan need to file bankruptcy in order to save the house from foreclosure. Actually, as long as one party on the loan files, that is enough to protect the house from foreclosure and implement the automatic stay as long as the bankruptcy is filed before the foreclosure. It may be beneficial for both parties to file together if they have other debt to include in the bankruptcy. In some cases, however, the house may be the only debt the parties possess or the additional debt may only be in the filing debtor's name. In that case, some people prefer to have only the one party on the loan file in order to preserve the credit of the other person. If the house is later surrendered through the bankruptcy or foreclosed, the second person on the loan may want to consider filing bankruptcy because they would then be responsible for the deficiency on the property. Otherwise, only one party would need to file bankruptcy.Myth: If the creditor isn't being paid through the bankruptcy, it is because the Trustee is choosing not to pay them.Truth: If a creditor is not being paid through the Chapter 13 bankruptcy, it likely due to reasons outside the Trustee's control. When a bankruptcy is filed, the creditors receive notice of the bankruptcy and are given a deadline in order to file a proof of claim. The proof of claim informs the Trustee of the amount due to the creditor so they know how much should be in the plan to pay them. Upon review of the proofs of claim, the Trustee makes sure the plan is feasible and pays the creditor a certain amount per month through the life of the plan. If the creditor does not file a proof of claim, the Trustee cannot pay them. Therefore, if the creditor is not being paid, there is a good chance there is no proof of claim filed. In that case, the debtor's attorney can call the creditor to remind them or file a proof of claim on the creditor's behalf to guarantee payment by the Trustee. If you would like more information, please contact a St. Louis or St. Charles bankruptcy attorney.
<p>When considering filing for bankruptcy there are a number of things to consider. Some of them will be related directly to paperwork, but many of the factors will be life decisions that might not seem related to your bankruptcy on its face. One such example is the decision to relocate to a different state. Moving within a state will not cause you any problems with filing, but if you are retaining an attorney you may want to see if that attorney will be able to handle your case after your relocation. If you are staying in the same general area it shouldn't be a problem, but if you are moving a considerable distance you might be outside of your attorney's practice area or even outside of where your attorney is licensed to practice. </p><p>If you are considering filing for bankruptcy and may be moving out of a state there are a number of factors to consider. First, you must be a resident of a particular state on the day of filing to file in that state. So, if you retain an attorney in Missouri and then move to Kansas before your case is filed you will have to find other representation. Not only do you have to live in the state on the day of filing, but you must have lived in the state for the greater part of the 180 days leading up to bankruptcy. Basically, you must live in the state for 91 days or more prior to filing. If it is imperative that you file right away you may want to consider filing in your current home state prior to moving out of state. </p><p>If you are considering filing for bankruptcy in a state that you have not lived in for at least two and a half years you will want to notify your attorney of this as soon as possible. This does not mean that you cannot file, it simply means that the exemptions you will use might be different that the state you live in. This is not a problem, and does not mean that you cannot file, it just means that your attorney may have to do a bit of research to determine what <a title="Missouri Bankruptcy Exemptions" href="http://www.lickerlawfirm.com/blog/missouri-bankruptcy-exemptions.cfm">exemptions </a>apply. Depending on the circumstances you may use the exemptions from a state of prior residence or federal exemptions. If you have not lived in the state for at least two and a half years your exemptions will be based on the preference of the state that you lived in for the greater part of the six months prior to the two years prior to filing for bankruptcy.</p><p>If you have questions, or would like to set up a consultation, contact a <a title="St. Louis Bankruptcy Attorney" href="http://www.lickerlawfirm.com">St. Louis Bankruptcy Attorney </a>Today.</p>
<p> </p><p>Myths and Truths About Chapter 7 Bankruptcy, Part IV</p><p>Myth: A debtor can dismiss a Chapter 7 <a href="http://en.wikipedia.org/wiki/Bankruptcy">bankruptcy</a> if the Trustee finds assets.</p><p>Truth: In a Chapter 7 bankruptcy, it is not possible to voluntarily dismiss your case if the Trustee finds assets. Generally, a debtor can voluntarily dismiss their case before discharge if they change their mind about filing the bankruptcy; however, this is not the case if the Trustee has found assets. When a bankruptcy is filed, the debtor has an obligation to list any property they have at the time of the filing and the value of said property, as well as any pending insurance claims, inheritance, and personal injury claims, etc. If the Trustee determines that the personal or real property has a higher value than the debtor originally assessed or if the Trustee finds assets that were not listed in the bankruptcy petition, the Trustee can seize the assets if they are not exempt. In order to prevent this from happening, many debtors request to voluntarily dismiss their case without discharge so they may retain their assets. This is not a possibility. If a Trustee finds unexempt assets in a Chapter 7 case, debtors are unable to dismiss their case voluntarily. That is why it is so important for debtors to accurately disclose their property and assets (present and future) to their attorney and on their bankruptcy petition before filing. </p><p>Myth: If a debtor does not list something on the bankruptcy petition, the Trustee will not find out.</p><p>Truth: It is essential for debtors to disclose all income, assets, and property, as well as the accurate value, on their bankruptcy petition and to disclose this information to their attorney. It is also important for debtors to list any transfers, money paid to family members or friends, payments to creditors, etc. The trustee completes their own investigation into the debtor's petition. They can check what property the debtor has and the value of the property. They can also find out about transfers of property and the recipients of transferred property. Trustees can require an appraisal of real or personal property if they believe the value listed is too low. They sometimes even wish to view the property personally. They can also look at bank accounts to determine if money was taken out or given to someone else or if income was earned but not reported. The Trustee will ask debtors questions under penalty of perjury. For this reason, it is essential to disclose fair, honest, and accurate information on the bankruptcy petition and schedules. </p><p>If you have any questions, please contact a <a href="http://www.lickerlawfirm.com">St. Louis or St. Charles bankruptcy attorney</a>.</p>
<p> </p><p>Myths and Truths About Chapter 13 Bankruptcy, Part IV</p><p>Myth: If a house is jointly owned and in foreclosure, both parties on the loan must file Chapter 13 bankruptcy in order to save the house from foreclosure.</p><p>Truth: Both parties on the loan do not need to file <a href="http://en.wikipedia.org/wiki/Bankruptcy">bankruptcy</a> in order to save the house from foreclosure. It is very common for a house to be owned jointly, especially by a married couple. Many people think that because both names are on the loan, both people on the loan need to file bankruptcy in order to save the house from foreclosure. Actually, as long as one party on the loan files, that is enough to protect the house from foreclosure and implement the automatic stay as long as the bankruptcy is filed before the foreclosure. It may be beneficial for both parties to file together if they have other debt to include in the bankruptcy. In some cases, however, the house may be the only debt the parties possess or the additional debt may only be in the filing debtor's name. In that case, some people prefer to have only the one party on the loan file in order to preserve the credit of the other person. If the house is later surrendered through the bankruptcy or foreclosed, the second person on the loan may want to consider filing bankruptcy because they would then be responsible for the deficiency on the property. Otherwise, only one party would need to file bankruptcy.</p><p>Myth: If the creditor isn't being paid through the bankruptcy, it is because the Trustee is choosing not to pay them.</p><p>Truth: If a creditor is not being paid through the Chapter 13 bankruptcy, it likely due to reasons outside the Trustee's control. When a bankruptcy is filed, the creditors receive notice of the bankruptcy and are given a deadline in order to file a proof of claim. The proof of claim informs the Trustee of the amount due to the creditor so they know how much should be in the plan to pay them. Upon review of the proofs of claim, the Trustee makes sure the plan is feasible and pays the creditor a certain amount per month through the life of the plan. If the creditor does not file a proof of claim, the Trustee cannot pay them. Therefore, if the creditor is not being paid, there is a good chance there is no proof of claim filed. In that case, the debtor's attorney can call the creditor to remind them or file a proof of claim on the creditor's behalf to guarantee payment by the Trustee. </p><p>If you would like more information, please contact a <a href="http://www.lickerlawfirm.com">St. Louis or St. Charles bankruptcy attorney</a>.</p>