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What happens in bankruptcy if I have a medical malpractice claim?

by David Leibowitz, Illinois and Wisconsin Bankruptcy Attorney · Posted in Bankruptcy Practice and Procedure, Exemptions In Bankruptcy, Medical Bills, Your Bankruptcy Attorney & You

People often file bankruptcy because the have medical bills. Sometimes, people have medical bills because they have to pay doctors and hospitals to fix botched medical procedures.

Maybe they have seen an attorney about a medical malpractice claim. Maybe they have filed a lawsuit. Maybe they haven’t yet filed a lawsuit.

In the meantime, they are unable to work because they have been injured by the medical mishap. They are running up a lot of debt. They are in financial trouble.

Now the see a bankruptcy lawyer. Here’s where the trouble can begin.

You have to tell your bankruptcy lawyer about every lawsuit you have or may have.

Very bad things can happen to you if you don’t list all of your assets in a bankruptcy case.

  • You could lose your discharge in bankruptcy
  • You might be committing a bankruptcy crime
  • The people you are suing may claim that your failure to list the claim you have against them is an admission that you don’t have a claim against them
  • You might lose your right to claim that some or all of the claim you have is exempt under applicable state or federal law.

A medical malpractice claim is a very big deal. It may result in damages even greater than all of your debts in your bankruptcy case.

Our next article will discuss what you and your lawyer have to do if you have a medical malpractice claim when you file your bankruptcy case.

Lakelaw files bankruptcy cases for people in Illinois and Wisconsin. If you have a medical malpractice case when you file your bankruptcy, Lakelaw will help you protect that asset and preserve your rights in bankruptcy. Call us today at 1 866 LAKELAW (525-3529).

About David Leibowitz, Illinois and Wisconsin Bankruptcy Attorney

David Leibowitz holds a B. A. in Economics from Northwestern University and received his J.D., cum laude, from Loyola University of Chicago School of Law where he also served as Note Editor of the law review. Admitted to the Illinois and Wisconsin bars, he is the managing member of Lakelaw, an interstate law firm with offices in Chicago, Skokie and Waukegan in Illinois and Kenosha, Wisconsin. He is nationally recognized for his work in identifying and pursuing mortgage related claims in the context of bankruptcy. David is a member of both the Illinois and Wisconsin bars and has practiced in bankruptcy courts throughout the country. He is a member of the American Bankruptcy Institute where he is the Co-Chair of the Commercial Fraud Committee. He is ta frequent contributor to the ABI Journal and speaker at ABI events. He is an author and editor in chief of the American Bankruptcy Institute Fraud Manual published in 2010. He is also a member and Director of the National Association of Bankruptcy Trustees, a member and frequent speaker for the National Association of Consumer Bankruptcy Attorneys and numerous state and local bar associations. He is Board Certified by the American Board of Certification in both Consumer Bankruptcy Law and Business Bankruptcy Law. David is also the publisher of Lakeblawg, www.lakelaw.com/lakeblawg, a blog dedicated to consumer and small business bankruptcy and mortgage foreclosure defense.

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