We have been practicing law in Boston and throughout Massachusetts since 1985. I have represented clients in District Courts, Superior Courts, the Appeals Court, Housing Court, Probate Courts, Federal Bankruptcy Court and the Federal District Court.
As readers of our blog and know, we strongly encourage folks to fully disclose their assets as well as their liabilities to their attorney. Bankruptcy planning means working with the lawyer to decide how to deal with each asset and each liability. Most cases are clear, and can even be easy. It didn’t work that way in Madison, Wisconsin this past week.
Read MoreFor many specific reasons, many folks filing for bankruptcy in Massachusetts choose to file personal bankruptcy using the Massachusetts, rather than the federal, bankruptcy exemptions. Usually this is because they have significant equity in their home and the Massachusetts Homestead gives residents who own their own home, up to $500,000 in exempt equity in their home, and possibly more.
Read MoreIn June the United States Supreme Court struck down the federal law commonly known as the Defense of Marriage Act (DOMA) in US v. Windsor. The ramifications of that court decision are widespread. In the bankruptcy field, the ruling seems clear. If you are married under Massachusetts state law you now can file bankruptcy jointly in federal Bankruptcy Court.
Read MoreDoes it make sense to draw monies from a closed home equity account and then file bankruptcy to try to discharge the debt? Of course not. Readers of our blog and clients who have filed bankruptcy in Boston know that anything and everything on the bankruptcy petition and schedules must be honest and that any debt you attempt to discharge must have been a legitimate debt at the time you made it.
Read MoreMany bankruptcy clients come to us before or after a divorce. Or even during a divorce. We assist them in making various decisions, including which to do first. The key is what the client is trying to achieve.
Read MoreBankruptcy Trustees are court appointed temporary trustees of the bankruptcy estate in each personal bankruptcy case filed. Their job is to represent the creditors. If all of the assets are exempt, the trustee’s job is to certify this to the Bankruptcy Court and move on to the next case. Many times there is an asset worth exploring – investment real estate that may have some equity, and, believe it or not, a lawsuit, or claim that could be brought on behalf of the debtor. Such claims may be quite valuable.
Read MoreThere is some good news for consumers after the first quarter bankruptcy numbers are in: the number of personal bankruptcy filings was down. Again. This was a continuation of the 2011 and 2012 trend; and a huge turnaround from the prior years when the number of personal bankruptcies, in Massachusetts and throughout the country, skyrocketed. The first quarter of 2013 filings were down 13% from last year’s first quarter. Furthermore, credit card delinquencies and chargoffs are below last years, indicating that consumers are in a much better position to pay their bills. For example, delinquencies are down 26%, which seems significant.
Read MoreNow that the housing market is starting to recover, more and more folks have some equity in their homes. Nevertheless they still may need to file for bankruptcy protection because they can’t pay all their bills. Many folks have managed to pay their mortgages, especially if they were lucky enough to refinance with lower interest rates, yet creditors are hounding folks that owe monies on credit cards, medical bills, personal loans, and utility bills.
Read MoreAs our readers know, the 2005 amendments to the Bankruptcy law made it more difficult to file for personal bankruptcy. A “means test” was added to make it more difficult for moderate-income folks to file. Young people with federally subsidized student loans were not given any relief. Federal taxes are dischargeable in many instances. There are many instances in which SBA loans can be discharged too. So what is the logic?
Read MoreClients come to us with many consumer and personal bankruptcy questions. One recent question we hear is about the transfer of a high, or moderate, interest car loan to a low or zero interest credit card loans. Is this wise?
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