One of the most enduring myths about the law is that spouses are legally responsible for each other’s debts — but it simply isn’t true, not even in a community property state.  Why, then, do so many people seem to “know” this is so, when it’s just a myth?
The answer probably lies in the nature [...]

The collector claims she’ll sue me for my deceased companion’s debts because California is a community property state, my client reported. The collector threatened to open a probate proceeding to overturn the sale of the house we had owned in joint tenancy, she continued.

So many violations of the Fair Debt Collection Practices Act, where do [...]

It is not uncommon for debtors to have attorney fee claims against themselves and/or future property of the estate.  The most common example is an attorney fee lien agreement on a personal injury case.  In the event of recovery in those cases, the attorney typically receives 33% or more of the gross settlement or judgment.
Recently, [...]

Today, the Senate voted on Senate Bill 61, the bill which would allow homeowners, consumers, everyday Americans, to modify their residential mortgages in bankruptcy.   This bill had been debated for over 8 months, mostly during the presidential elections.  The Bill did not pass.
Other types of mortgages can be modified in bankruptcy; other types of loans [...]

Kathy Kristof’s recent feature on protecting yourself from the debt of a failed marriage addressed well the problem of joint debts.  Where the creditor can pursue either party for payment, informal divisions of the debt that don’t involve the creditor have risks to the other spouse.  If, despite your agreement, your ex doesn’t pay, your [...]

More bankruptcy courts are demanding mortgage servicers prove they are entitled to collect on a mortgage loan note before foreclosing.  The fight over standing to appear in court runs deeper than technicalities and tactics to stall a lender.  It is a matter of fundamental rights.
A Missouri state appellate court recently joined the chorus of tribunals [...]

The 2005 amendments to the Bankruptcy Code created a very complex rule to discourage folks from moving around the country to protect more property.  But the same amendments encourage people to do so if it helps avoid that same law.
One aspect of the law we have come to hate is the change to discourage folks [...]

My colleague David Leibowitz of Chicago posted about a fresh 7th Circuit Court of Appeals case, In re Belcher, which denied a homestead exemption under Illinois law to a spouse as to real estate that was titled in his spouse’s name only but not in his name.  This case will expose real estate equity to [...]

I know a lot of lawyers who are like me.  As corny as it sounds, we really like to help people.  We see ourselves as riding to the rescue, and it hurts us to have to say “I can’t help you.”  But that is exactly where I found myself yesterday.
I met with a retired woman [...]

Last year almost 71,000 complaints about creditor harassment were filed with the Federal Trade Commission.  That is twice the number that filed in 2003.  But that’s not all.  Over 14,000 complaints were reported to the Better Business Bureau, and thousands more were filed around the country with state and city officials.
David Polino, the president of [...]