During the course of a Chapter 7 bankruptcy proceeding, a debtor may seek to avoid a lien filed by a condominium or homeowner association against the debtor’s real property for failure to pay maintenance fees. However, it’s important to examine the classification of the lien prior to determining whether the lien can avoidable in bankruptcy.
In general, a proof of claim is a legal document that notifies the debtor, the trustee, and other parties-in-interest that a creditor wishes to assert its right to receive distributions from the bankruptcy estate. Proof of claims are most commonly asserted in Chapter 7 asset cases, Chapter 13, and Chapter 11 bankruptcy matters. It should be noted that the majority of consumer Chapter 7 cases are considered “no-asset” bankruptcy matters and do not require proof of claims.
The death of a loved one will always cause emotional and financial grief to family members. Wrongful death cases are frequently challenging for clients, because they often have to relive tragic events and deal with controversial issues in the case. Common wrongful death cases in New Jersey include car accidents, truck accidents, motorcycle accidents, workplace accidents, medical malpractice, bicycle accidents, defective products, lack of security, and wrongdoing by law enforcement.
Credit Cards and Chapter 7 Bankruptcy
Personal Credit Cards
A common question that many individuals contemplating bankruptcy ask during our firm’s free consultation is whether they can retain a credit card during bankruptcy. In almost all cases, once a credit card institution receives notice of the bankruptcy filing, it will almost immediately cancel the debtor’s credit card.
Due to unforeseen life circumstances, many individuals fall behind on mortgage payments, which will eventually lead to foreclosure proceedings. In order to avoid foreclosure, or during the foreclosure process, an individual may seek a loan modification from the lender. A loan modification is a permanent restructuring of the mortgage terms to provide a more affordable payment to the borrower. In general, the primary goal is to help the borrower reduce their monthly mortgage payments to 31% of their gross income.
Being involved in a car accident can be extremely emotional. A car accident occurs quickly and the victim may be overwhelmed with questions from the other drivers, police officers, and medical personal. In fact, I have heard from multiple victims that they did not realize they were injured until after their adrenaline from the accident had ceased. Notwithstanding, if you are involved in a car accident, this blog will outline five common mistakes victims make following the accident.
Even after an initial bankruptcy filing and discharge, many individuals find themselves in insurmountable debt due to unfortunate life circumstances, for example - substantial medical bills from an unexpected incident. As a result, our law firm often receives inquiries from individuals seeking to file for bankruptcy a second or even third time. Luckily, an individual can file for bankruptcy as often as they’d like. However, there are certain time limitations on how often you can file and still receive a discharge. This blog will discuss the time limits of filing for bankruptcy and still receiving a discharge.
Commonly, we receive calls from potential clients asking why they owe money to a creditor after their home was sold at a sheriff’s sale or a lender repossessed their automobile. Generally, the potential client is referring to a deficiency judgment.
If a debtor’s mortgage lender forecloses on a home, or if a car lender repossess a automobile for missed payments, and the lender cannot resell the property to satisfy the originating loan, then the debtor may be required to pay the “deficiency”. This can be terrifying, because many individuals believe that the sheriff’s sale or repossession was the end of any collection efforts. Luckily, filing for bankruptcy can eliminate your personal liability for a deficiency judgment.
In its simplest terms, a creditor is a person or entity who is owed money by a different person or entity. In bankruptcy, creditors are primarily categorized into three separate classes, which depends on whether the creditor maintains an interest in collateral the debtor owns, or receives special treatment in accordance with the United States Bankruptcy Code. The primary classes of creditors are secured creditors, unsecured creditors, and priority creditors. This blog will outline the differences of these three classes of creditors.
Prior to filing for bankruptcy, your attorney will request a series of documents in order to ensure that your bankruptcy petition is accurate. The more information that a potential debtor can provide, the better. Strategically, your attorney wants to be prepared to explain any potential issues to the Court and the Trustee appointed to your particular case. Therefore, prior to filing for bankruptcy, collect the following documents and provide them to your attorney for his or her review. All documentation provided must be up-to-date before the bankruptcy petition is filed.