If you’ve been considering bankruptcy, but the coronavirus pandemic has delayed your decision, here are some steps you can take now. The #QuarantineLife is first starting to end as U.S. businesses begin to open up. States are lifting COVID-19 restrictions at different paces. Even if you haven’t gotten out of quarantine yet, your state is […]
Even before the coronavirus pandemic, economists were warning of a possible recession in 2020. Trade issues with China, economic declines in other regions, flat global industrial production, and increasing personal debt are just some factors that have been stressing the U.S. economy. The longest economic expansion in history appears to have ended, with 10 million […]
If the coronavirus pandemic and the current state of the economy have switched your focus from debt consolidation to bankruptcy, you are not alone. John Rao of the National Consumer Law Center said people don’t typically file right away during a crisis; he said: “There is no question that given the effect of this pandemic, […]
If you’ve fallen on hard financial times, bankruptcy can help set you on the right course. You can receive a discharge of debts with Chapter 7 bankruptcy or discharge some debt and create a repayment plan with Chapter 13 bankruptcy. However, there are many considerations and steps to navigate. These bankruptcy basics are intended to […]
The Senate passed the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) on March 25, 2020. Enacted on March 27, the legislation placed short-term restrictions on lenders and servicers of federally backed loans. It enforces mandatory forbearance obligations, moratoriums on foreclosures, and revises credit reporting obligations to help individuals and businesses facing financial hardship […]
Various federal, state, and local agencies have offered financial relief during the COVID-19 global pandemic. For example, New York announced it would cease collection of state-owned medical and student debt for 30 days.1 In California, there’s now a 90-day grace period for mortgage payments and a moratorium on initiating foreclosure sales or evictions.2 But for […]
Coronavirus is affecting every aspect of daily life including federal, state, and local governments. The courts have had to adjust their rules in light of the pandemic. We have put together this FAQ to help our clients navigate the new bankruptcy rules. This is not legal advice but guidelines. ARE THE BANKRUPTCY COURTS STILL OPEN? […]
Bankruptcy is an option during tough times. If you’re deep in debt due a loss of employment, emergency repairs, or a divorce, you can file for Chapter 7 bankruptcy to receive a discharge of debts, if approved by the court. With a Chapter 13 bankruptcy case, some debt may be discharged while you’ll receive help […]
Bankruptcy can provide you with a way out of tax debt. But when it comes to the IRS, being cleared of unpaid tax debt is more complicated than a court-approved discharge of, for example, credit card debt. Filing for bankruptcy can reduce or eliminate federal and state tax debt, as well as back taxes owed […]
Franchise Bankruptcy and Chapter 11 Chapter 11 bankruptcy is available to businesses, as it is for high net worth individuals. Franchise bankruptcy involves the reorganization of debts, but a franchisee must obtain permission from the court to “assume” their franchise—or continue to do business. The U.S. Bankruptcy Court sees franchise agreements as executory contracts, in […]
