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Chapter 13 And Unexpected Bills »

What happens when you cannot make your Chapter 13 payments due to unexpected bills?  A furnace goes, or a car breaks down, or you get sick or hurt.  What then?
There are a number of options.  None of them are “Keep this secret from your lawyer!”
You can ask for a suspension, or moratorium of payments and [...]

Fees From A Creditor Who Tried To Dismiss Your Case »

Creditors can argue that your case should be dismissed for abuse, a term not defined in the Bankruptcy Code;  It generally means that you’ve been a bad boy.  There’s a presumption of abuse when you flunk the Means Test and show that you have means to pay some of your debt.  Abuse might also exist [...]

Bankruptcy Erases Most Judgments »

It often happens that a creditor gets a judgment against you before your bankruptcy case is filed.  That judgment is erased by the filing, unless it’s a type of debt that isn’t discharged anyway (fraud, theft, intentional injury, and the like).
This doesn’t automatically mean that you need to file a bankruptcy case.  You may be [...]

One Violation; Two Lawyers »

A simple enough situation.  After a bankruptcy case was filed, a large telephone and Internet ervice provider sent bills from its special bankruptcy administration office for a pre-bankruptcy debt.  I filed a motion for sanctions.  The provider then sent a notice of termination of services.  I called it to confirm receipt of the motion and [...]

Married Debtors; Separate Bankruptcy Estates »

Two spouses file one bankruptcy case.  They get one trustee, one case number, one meeting of creditors, etc.  But they are still two separate people with two separate bankruptcy estates.
Here’s why it’s important.  If someone dies within six months after a bankruptcy is filed, the inheritance is property of the bankruptcy estate.  However, that inheritance [...]

Can You Get Rid Of A Mortgage: An Update »

A Massachusetts Chapter 13 debtor has been able to remove (”cancel” or “rescind”) a second or refinancing mortgage, without having to pay the full principal balance, if there was a serious defect in the closing papers.  See Cancel That Mortgage:  Why Bankruptcy and Remove That Mortgage !!
A recent intermediary appellate decision just changed that ruling.  [...]

Free Rent For A Parent? »

What could be wrong with this?  Your mother conveys her home to you, and you let her live there for the rest of her life.  No need to pay an attorney.  “Gotcha”, says the trustee.
A bankruptcy trustee takes over control of your assets, and may well threaten to evict your mother so rent can be [...]

The Continuing Concealment Doctrine »

The Continuing Concealment Doctrine applies when someone appears to have transferred an asset, but retained secret control or a beneficial interest.  It commonly applies where someone convenys a house to another, but continues to live there, pay the mortgage and utilities, maintain and improve the property, and so forth.  It can apply to stocks or [...]

Limited Stay Relief Is Automatic In Massachusetts »

A secured creditor, or its non-attorney representative, may now send account statements and the like to a debtor without first seeking stay relief, so long as the communication does not demand payment or threaten foreclosure or case dismissal.
The secured creditor may also discuss or negotiate a mortgage modifcation with debtor’s counsel, but not directly with [...]

Limited Attorney Appearances Allowed In Massachusetts »

An attorney can limit her appearance in a bankruptcy case to a particular contested matter or adversary proceeding in Massachusetts, without generally appearing on behalf of a debtor for all contested matters, if the client agrees and either (1) the client is otherwise pro se (case filed without an attorney) and the attorney is working [...]