Category Archives: Chapter 7
What Happens at the Creditors’ Meeting in a Chapter 7 Bankruptcy?
The creditors’ meeting is a required procedure in all Chapter 7 bankruptcy cases. The idea of facing your creditors in person may seem intimidating, but in practice most of these meetings are quick and painless. In fact, even though it is called a creditors’ meeting and they have the right to appear and ask questions, […]
Overcoming the Presumption of Abuse in a Chapter 7 Case
Debtors filing for Chapter 7 bankruptcy are subject to a qualifying “means test.” The purpose of the test is to confirm that the debtor is truly incapable of paying his or her outstanding debts. The means test requires disclosure of the debtor’s income and expenses. If the debtor’s current income is greater than the median […]
Using Chapter 7 to Wipe Out Personal Liability for Business Debt
Many small businesses struggle to stay afloat and eventually reach the point where debt becomes unmanageable. If you are an owner or part owner of a business in that situation, you may be wondering whether you are liable for your company’s debts and whether filing a Chapter 7 bankruptcy can protect you and your personal […]
What is the Trustee’s Role in a Chapter 7 Bankruptcy?
When a person or business files for Chapter 7 bankruptcy, the petition and related paperwork provide the court with information about the debtor’s assets and liabilities, income and expenses and general financial condition. The court then assigns a trustee, whose role is to review the bankruptcy petition and other documentation and to supervise and administer […]
What Can Cause Your Chapter 7 Petition to be Denied?
Chapter 7 bankruptcy offers consumers a chance to be relieved of crushing debt and to get a fresh financial start. However, the law is not intended as a cover for fraud, deception or other conduct abusive of the bankruptcy system. Debtors who seek the law’s protection are held to high standards of good faith and […]
How Often Can You File for Bankruptcy?
If we have learned anything during the pandemic era, it is that things are more fragile than they seem. Global economies can be stopped in their tracks, threatening the financial health of millions of individuals. Many people who filed for bankruptcy in the past may find themselves in dire financial straits due to COVID-induced job […]
Which Set of California Bankruptcy Exemptions Are Most Favorable?
There is a common misconception that you must give up all your property in a Chapter 7 bankruptcy. In reality, filers usually can retain all or most of their assets by taking advantage of federal or state bankruptcy exemptions. In California, bankruptcy filers must use one of the state’s two different sets of exemptions. Which […]
