The Dana Law Firm and its attorneys have provided quality legal guidance and drafting in estate planning for nearly a quarter century. Traditionally that guidance and drafting have been related to Clients looking to protect their wealth. Today, with the economy’s “perfect storm” creating overwhelming job losses and dramatic decreases in wealth, our guidance and legal services are also helping those who have found themselves on hard times. Personal bankruptcies are being resorted to daily through the filing of Chapter 7 and Chapter 13 bankruptcy petitions. Since debt is a common problem in the U.S., filing bankruptcy has become inevitable for many hard working individuals.
The current bankruptcy Code, known as Title 11 of the United States Code, has a main objective of reorganizing debtors in financial trouble. For our clients, if they are qualified candidates, Chapter 7 of the Bankruptcy Code tends to provide the most immediate relief from the weight of unwanted debts. Chapter 7 bankruptcy consists of liquidation proceedings that are administered by the bankruptcy cell of the federal district courts. This means that debtors turn over all non exempt property, if any, to a case trustee assigned by the Court. The case trustee then sells and converts all the properties to cash for the benefit of the creditors.
Chapter 7 bankruptcy can be filed by any person who is a resident of the USA or who has a business or property in the States. Chapter 7 bankruptcy cannot be filed by any person who has been granted debt discharge by a Chapter 7 filing within the last 6 years, who has completed a repayment plan under a Chapter 13 filing, or whose bankruptcy filing was dismissed for cause within the last 180 days.
It should be noted that not all debts are dischargeable by Chapter 7 bankruptcy. Child support, taxes, liability for injury or death caused from driving in an intoxicated state, student loans, criminal fines or penalties and non-dischargeable debts incurred from a previous bankruptcy are some of the debts that will remain even after a successful bankruptcy filing.
A few of the major benefits of Chapter 7 include stopping collector harassment and foreclosure actions, removal of community debts (applicable for divorcees), and completely discharging most, if not all, of the debts of the petitioner.
Filing for bankruptcy is a serious financial decision and deserves professional advice. The Dana Law Firm can help you navigate your way through the tough decisions on whether bankruptcy is right for you. Should bankruptcy be in your best interests, our attorneys will take the time to explain the bankruptcy process in detail and advise you as to the benefits that can be expected from a successful completion of a Chapter 7 or Chapter 13 bankruptcy filing.
Required Legal Notice: “We are a debt relief agency. We are proud to assist people file for bankruptcy relief under the U.S. Bankruptcy Code.”