General contractor’s bankruptcy story continues
General contractor Brian M. Marshall, founder of companies including Fireline Restoration Inc., Initech Restoration, Marshall Investments LLC, Marshall Aviation LLC, and numerous others, has requested that courts dismiss the latest of his bankruptcies or convert them...
Surge in Consumer Bankruptcy Filings
Despite the recent economic upturn, consumer bankruptcy filings have not slowed. In February, bankruptcy filings were up 14% compared to the previous year. The number of bankruptcy filings in February increased by a total of 9% from January’s, indicating a...
Can student loans be discharged in a bankruptcy?
During a bankruptcy filing, filers typically cannot discharge their student loans. However, there are two exceptions to this general rule. First, a student loan may be discharged if it is not guaranteed by the government or is not associated with any program that is...
Can tax obligations be discharged during a bankruptcy?
When individuals file for bankruptcy, they usually believe that they cannot discharge their tax obligations. However, some of these tax obligations may be discharged in a bankruptcy filing.In some cases, none of the tax obligations can be discharged. Certain...
What documents do individuals need for a bankruptcy filing?
When individuals consider filing for bankruptcy, their first step is often to visit a lawyer. Before this meeting, individuals should collect and prepare a number of documents.These documents include a list of creditors, outstanding loans, any secured debt, and any...
U.S. bankruptcy filings increased in 2009
Bankruptcy filings across the country increased by 31.9% last year. According to a report released by the Administrative Office of the U.S. Courts, bankruptcy filings totaled 1.4 million in 2009.The bankruptcy filings included 60,837 business-related filings, which...
Can filing for bankruptcy get you out of paying for child support and alimony?
Some individuals who file for bankruptcy are behind on their alimony and child support payments, along with their debts. While bankruptcy can get rid of some or all of their debts, it cannot erase alimony and child support payments.This means that filers cannot get...
Are you required to go to court in a bankruptcy proceedings?
When individuals file for bankruptcy, they do not necessarily go to multiple court hearings. However, they are often required to attend one hearing, which is commonly known as a 341 meetings.At this meeting, bankruptcy filers will meet with their bankruptcy trustees...
How should you manage your corporation during bankruptcy?
Members of corporate boards are often conflicted during company bankruptcies. While they often focus on increasing shareholder value during normal times, they are required to pay off creditors and adhere to bankruptcy law during a bankruptcy process.This change in...
Can you employer fire you because you filed for bankruptcy?
When individuals file for bankruptcy, they often have many concerns about their finances, families, and jobs. Some individuals believe that if their employers find out about their financial situation, they may fire them.However, according to U.S.C. Sec 525, employers...
Alabama landfill owners file for bankruptcy protection
The owners of an Alabama landfill filed for bankruptcy Tuesday. According to the bankruptcy filing, Perry Uniontown Ventures LLC and Perry County Associates filed for Chapter 11 bankruptcy protection.The filing comes on the heels of the owners accepting a multimillion...
The consequences of bankruptcy fraud
Bankruptcy fraud occurs when individuals file for bankruptcy with criminal intent. Such intent includes filing for bankruptcy for purpose of not paying for goods and services even though the filers have sufficient funds.If individuals are convicted of bankruptcy...
Are education funds exempt from seizure?
Some education funds are exempt from seizure within limits. According to Alabama bankruptcy law, allowable funds include those that are place in an educational retirement account or qualified tuition program.They are limited to payments made to the fund within the...
Bankruptcy filings increase 32 percent in 2009
Bankruptcy filings increased 32 percent in 2009 compared to 2008. According to statistics released by the National Bankruptcy Research Center, 1.3 million individuals and businesses filed for bankruptcy.This uptick in filings includes a 42 percent increase in Chapter...
Alabama’s Colonial BancGroup Soldiers Through Bankruptcy
Alabama’s Colonial BancGroup, the holding company that controlled Colonial Bank, is working its way out of bankruptcy. Colonial was one of three Alabama banks which failed during the recent economic meltdown; when it went under, it had approximately $25 billion in...
What is a garnishment?
A garnishment is a way of collecting payment from a defendant. It orders a third party, which owes money to the defendant, to pay money directly to a plaintiff.Garnishments may cause significant financial hardship for those who have a number of debts. For this reason,...
The risks of co-signing a loan?
Many people who have poor credit ratings often seek others with better credit ratings to cosign their loans. By getting a cosigner, the borrower increases his or her chance of securing a loan.From a creditor’s perspective, a cosigned loan is less risky because the...
Will your small business bankruptcy drive you into personal bankruptcy?
When small businesses file for bankruptcy, their owners’ personal assets are typically protected from creditors. The filing typically freezes or erases creditors’ claims on the business’s assets.However, if the owner is liable for the businesses debts, then the...
The negative implications of bankruptcy fraud
Given the recent economic crisis, more individuals and families are filing for bankruptcy. Some of these filers, however, may not actually be in a position to file for bankruptcy.In some cases, bankruptcy filers may not actually be in a position to file for bankruptcy...
Will you lose your home if you file for bankruptcy?
When people file for bankruptcy, they are often able to keep their home. Under most bankruptcy laws, people can protect at least one home worth up to a certain dollar amount.However, if an individual or family owns more than one home, they may not be able to keep the...
The rise of Chapter 7 filings in the last few years
According to federal data, Chapter 7 bankruptcies have risen by more than 40 percent since 2007. This significant rise is likely caused by a number of factors.For instance, the recent economic crisis has led to lower incomes for many people. With these lower incomes,...