by Devin Sawdayi | Apr 9, 2014
Student loan debt presents a significant problem for individuals seeking bankruptcy protection under Chapter 7 of the Bankruptcy Code. Federal law specifically excludes student loans from discharge, unless a debtor can show “undue hardship” to themselves or their...
by Devin Sawdayi | Mar 30, 2014
Personal bankruptcy can help people recover from serious financial distress, when they no longer have enough consistent income to pay their bills. A major concern for people considering bankruptcy is the effect it will have on their credit and their future financial...
by Devin Sawdayi | Mar 24, 2014
A bankruptcy court recently granted a debtor’s request to discharge his student loan debt in a Chapter 7 proceeding. Federal bankruptcy law prohibits discharge of student loan debt except in extremely limited circumstances. The court found that repayment of the full...
by Devin Sawdayi | Mar 18, 2014
Aaron Carter, who achieved fame as a singer in the late 1990s and early 2000s, filed for Chapter 7 bankruptcy in Florida in October 2013. In his petition, he lists assets of just over $8,000 and debts of more than $2 million. More than half of the debts, including a...
by Devin Sawdayi | Mar 11, 2014
Federal law allows bankruptcy courts to dismiss a Chapter 7 petition if it finds that granting a discharge of debt would constitute an abuse of the bankruptcy system. A debtor must overcome a presumption of abuse by using the Chapter 7 “means test” to show that their...
by Devin Sawdayi | Jan 27, 2014
A federal district court affirmed a bankruptcy judge’s order converting a Chapter 13 bankruptcy to a Chapter 7 based on a finding of bad faith on the part of the debtor. In re Killian, No. 3:12-cv-03156, order (C.D. Ill., Sep. 30, 2013). Federal bankruptcy law allows...
