Chapter 7 Bankruptcy Issues

Find all issues related to chapter 7 bankruptcies here.

Beneficiaries of Revocable Living Trusts Facing Bankruptcy

So you are a beneficiary of a recovable living trust.   You need to file bankruptcy.   Can you?   Well, it depends.  Generally, as long as you are not the settlor and the settlor lives through your bankruptcy, your beneficiary interest is contingent, meaning it doesn’t come into your bankruptcy as property of the estate.   That’s because if the settlor is still alive, that...

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Can I Keep my Car When I File Bankruptcy?

When you file a bankruptcy, you want to keep your basic assets including your car.   When you file chapter 7 or 13, you can generally keep your car assuming you are able to utilize the federal or California based exemptions applicable to your case.   The specifics of how exemptions work or are applied on a case to case basis can be complex.   Thus it is important for you to consult an...

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How to Find a Quality Consumer Bankruptcy Attorney

So what should you look for when choosing the right consumer bankruptcy attorney for your case?  Everyone should want to retain a quality consumer bankruptcy attorney for peace of mind.   You want to know your attorney has your best interest at hand and that you will be taken care of personally by the attorney representing you.  You also want a competent attorney who knows bankuptcy law. In...

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Small Business Bankruptcy & Personal Guarantees

Recently, I filed a small business bankruptcy/personal bankruptcy for business members of an LLC who had leased a space in one of the newer commercial developments in the San Gabriel Valley.  In such small business bankruptcy cases where personal guarantees were given to secure loans, leases, or other necessary business expenditures, understand that a personal guarantee holds that...

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Want To Know If Your 401(K) Plan protected in Bankruptcy?

When one files bankruptcy, oftentimes the person has an interest in retirement accounts including 401(K) plans.   Such plans are generally ERISA qualified (check  your plan summary), and therefore such plans are generally excluded from Property of the Estate in bankuptcy cases under 541(b)(7) of the bankruptcy code. However, not all retirment plans are the same – 401(K)’s and...

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Shopping For The Lowest California Bankruptcy Attorney Fees – You Get What You Pay For

Oftentimes, prosepctive bankruptcy filers are shopping for the lowest bankruptcy attorney fees.   A good attorney should tell you that their fees depend on the complexity of the case.   Sure, there are attorneys out there who will take your case for a bargain price but are you sure they know what they are doing? For those clients who are price shopping for an attorney, remember you get...

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The Top Reason To File Bankruptcy

Want to know the top reason to file for bankruptcy: Well, it’s to Get a Fresh Start This fundamental concept of bankruptcy is ever so important to those who actually do file bankruptcy.  People file bankruptcy to move forward with life, and that is really and truly when people should file for bankruptcy protection.   Good people who cannot afford to pay their debts due to medical...

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Explaining a Bankruptcy Fraudulent Transfer by California Bankruptcy Attorney Jeffrey Hsu of JCH Law Firm

What’s a bankruptcy fraudulent transfer?  Well, it happens when a debtor conceals or transfers away property to avoid claims of executing creditors for purposes of bankruptcy.  In bankruptcy, there are 2 types of fraudulent transfer laws: state based under Section 544 and federally based under 548 of the Bankruptcy Code.  The state law version has a longer statute of limitations...

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Explaining Chapter 20 Bankruptcy in California

Chapter 20 Bankruptcy in California is the concept of a debtor filing a chapter 7 case and then subsequently filing a chapter 13 case.  Afterall 7 + 13 = 20.   So why does this matter?   Well, when one files a chapter 7 case, one receives a chapter 7 discharge.  Generally speaking, if one files a subsequent chapter 13 case, one cannot receive a discharge, at least not for a chapter 13 case...

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Alhambra Bankruptcy Attorney Jeff Hsu Discusses Chapter 7 Bankruptcy

Chapter 7 Bankruptcies are often called liquidation cases or pay out cases. However, most consumer bankruptcy chapter 7 cases are “no asset” cases meaning that no liquidation or payout is available to creditors in a chapter 7 context based on the chapter 7 trustee’s business judgment. In such “no asset” cases, the time a clients finds himself or herself...

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