Bankruptcy versus Offer in Compromise, A Comparison What is Different? Bankruptcy OIC Who runs the process A court process where IRS is just one of many creditors. An administrative process controlled by the IRS. Which tax debts are dischargeable Tax debts are generally only … [Read more...]
Famous People Who’ve Filed Bankruptcy
Article I of the Constitution grants to Congress the power to establish uniform bankruptcy laws throughout the country. While initially a device for creditors to divide up a debtor's assets, over time bankruptcy has become more debtor friendly and now it is means for debtors to obtain a fresh start … [Read more...]
Bankruptcy Basics: The Means Test
Source: Link to Form B 122A-2 Chapter 7 Means Test Calculation "Do I make too much money to file bankruptcy?" is a common question I get from potential clients. The short answer is no, but earning too much may prevent you from filing under Chapter 7. A debtor who earns more than the state's … [Read more...]
Home is Where the Heart is, or is it?! Colorado Bankruptcy Court Denies Homestead Exemption to Debtor Living in His Semi-Truck.
IN RE EDWARD ROMERO, United States Bankruptcy Court, D. Colorado; decided June 23, 2015. Edward Romero filed for Chapter 7 bankruptcy on February 12, 2015 and on his petition he listed his "1997 Peterbilt truck" as exempt under Colorado's homestead statute. Since 1998, Mr. Romero has lived … [Read more...]
Delivering the Goods: What Happens When a Consumer Puts Up a Deposit for Goods and the Retailer Goes Belly Up?
Last September, Gediman's Appliances of Bath Maine close abruptly. Customers who had put deposits down on appliances were left with neither their money or what they ordered. Sadly, this is not an uncommon occurrence when a retailer, big or small, closes. What then is a customer to do? Unfortunately, … [Read more...]
Former Reality TV Star Teresa Giudice Begins Serving Time for Bankruptcy Fraud
Teresa Giudice of “The Real Housewives of New Jersey” was previously convicted of bankruptcy fraud and since that time she has been free but not anymore. Today she surrendered to the authorities to begin her 15 month sentence in a low-security prison in Connecticut. Her husband will serve his … [Read more...]
Omitted Tort Claim in Bankruptcy Leaves Debtor with Coal in Her Stocking
Sometime in July, 2010, the debtor, Shawnna Pitts, was injured while leaving a CVS store in Ferndale, Michigan. As Shwanna was exiting the store, an automatic door closed on her and she was injured. Shawnna later filed suit against CVS and in 2013 she was able to reach a settlement with CVS. At the … [Read more...]
You Do Not Have to be Broke to File Bankruptcy
You do not have to be "broke" i.e. insolvent to file bankruptcy, in fact, you can be perfectly flush with cash. In this case, the debtor, a Mr. Sultan Soliman, filed to fight off a claim resulting from biting another person's nose. He had assets of $447,775 and $255,500 in debts. The protection of … [Read more...]