Legal summaries - common bankruptcy questions and answers
The most common bankruptcy questions relate to qualification for discharge, because the elimination of debt is the common goal of all debtors who file. A discharge eliminates a debt as if it never existed. Also be aware that a discharge of a debt is available in both Chapter 7 and Chapter 13. In Chapter 13, plans may provide either full or partial payment. In partial payment plans the unpaid debt remaining at the end of the plan term is discharged similarly as in Chapter 7 cases. Laws that provide for the terms of a discharge are highly technical and provide fertile ground for bankruptcy questions, disputes and litigation:
- bankruptcy requirements - the requirements for a discharge.
- bankruptcy means test - the role of disposable income in Chapter 7 cases.
- personal bankruptcy laws - qualifying as a debtor under the federal code.
- chapter 7 laws - qualifying for a chapter 7 discharge.
- chapter 13 laws - qualifying for a chapter 13 discharge.
- bankruptcy new laws - new restrictions when filing either chapter 7 & 13.
- medical bankruptcy - trustee review in catastrophic cases involving hospital expenses.
- bankruptcy dismissals - reasons why a case may be dismissed with prejudice toward refilling.
How disputed bankruptcy questions are resolved by courts
One of the most problematic bankruptcy questions always turns on the classes of debts that may be eliminated. For instances, a loan obtained by fraud is not dischargeable. However, the existence of actual fraud requires proof of each element of a cause of action to sustain a finding of fraud which requires conforming factual evidence. In essence, an objection to discharge frequently results in an adversary proceeding which is similar to a lawsuit within a lawsuit, and as everyone knows, court interpretation of testimony is not an exact science. Most allegations of fraud are highly contested and the final result speculative. This uncertainty in determining the existence of fraud then impacts the availability of discharge depending upon the final judgment obtained within an adversary proceeding.
Similarly, the weight and importance assigned to evidence in all disputes creates a degree of uncertainty in all objections filed by creditors. For debtors who have bankruptcy questions about dischargeability, the answer depends on factual circumstances, the likelihood of proof, and the practical economic prospect of contest (i.e., does filing an objection create a probability of profitable recovery for a creditor?). For more specific information, see:
- considering bankruptcy - a comprehensive interview list and essential information.
- wage earner bankruptcy - expanded options for wage earners and small business earners.
- answers to bankruptcy questions - find best answers and workable solutions in all circumstances.
- bankruptcy liquidation - when, why and how trustees hold auctions.
- bankruptcy furniture - the appraisal process and retaining furniture after filing.
- bankruptcy help advice - when to ask and how to qualify legal help and free legal advice.
- buying a car after bankruptcy - understanding automobile purchases and dealer policies.
- life after bankruptcy - opportunities and pitfalls following final discharge.
- buying a home after bankruptcy - understanding mortgage qualification after discharge.
- automotive bankruptcy - what happens to automobiles when the underlying note is past due?
- credit card bankruptcy - what happens when most debts are consumer credit card transactions?
- file bankruptcy online - how to file online fast to prevent foreclosures and repossessions.
- filing bankruptcy online - sources for filing online with legal assistance.
- inexpensive online bankruptcy - comparing options and alternatives for quality results.
- online bankruptcy forms processing services - when, why and how to use form processing services.
- personal bankruptcy online services - distinguishing legal representation and form processing companies.
- bankruptcy cash outs - defined, legal standards for liability, and circumstances creating cash outs.
- 30 day online bankruptcy - how to prepare for maximum benefits and avoid adverse presumptions.