GADSDEN BANKRUPTCY LAWYER

What is a bankruptcy plan of reorganization?

The plan of reorganization is a document that sets out how a debtor ­in ­possession will repay creditors. The plan divides creditors into classes. It specifies the treatment of claims for each class of creditor and provides a means for the plan`s implementation. The debtor­in­possession has the exclusive right to file a plan for up to 120 days after the filing of the petition. After this exclusivity period has expired, creditors may file a plan.

After I File For Bankruptcy, Will My Creditors Still Be Able To Call Me?

Yes. When filing for bankruptcy the “automatic stay” prohibits creditors from trying to collect on debts.  These efforts include being prohibited from contacting you in order to collect the debt.  When you hire an attorney, any communication from a creditor is usually required to be made through your attorney.

Can an employer discriminate against me for filing for bankruptcy?

Generally, government and private employers may not discriminate against you for filing bankruptcy. Federal law prohibits private employers from discriminating with respect to employment if the discrimination is solely based on the bankruptcy filing.

WHO SHOULD YOU HIRE FOR YOUR bankruptcy CASE?

First, look for attorney's qualifications.  The National Trial Lawyers Associations selected Dani Bone as a Top 100 Lawyer in the Country for 2018.   The National Trial Lawyers Associations selected Sam Bone as a Top 40 Lawyer Under 40 for 2015.  
Next, look at our reviews online for our services and compare them to other attorneys in the area to decide whether we should be your lawyer. 

What are bankruptcy exemptions in alabama?

Unless otherwise noted, all law references are to the Alabama Code.

Homestead

6-10-2 - Real property or mobile home, up to $15,500. Property can't exceed 160 acres.

6-10-20 - Before an attempt to sell the home, a homestead declaration must be recorded.

Personal Property

6-10-5 - A burial place and a church pew or seat.

6-10-6 - Clothing, books, family portraits and pictures.

Wages

5-19-15; 6-10-7 - For consumer loans, leases, and credit sales: 75% of weekly net income or 30 times the federal minimum hourly wage. For other cases: 75% of earned but unpaid wages. The judge may approve more for low-income debtors.

Pensions

11 U.S.C. § 522 - Tax exempt retirement accounts (including 401(k)s, 403(b)s, profit-sharing and money purchase plans, SEP and SIMPLE IRAs, and defined benefit plans).

11 U.S.C. § 522(b)(3)(C)(n) - IRAS and Roth IRAs to $1,283,025.

19-3B-508 - IRAs, Roth IRAs and other retirement accounts.

12-18-10 - Judges (for payments being received only).

16-25-23 - Teachers.

19-3B-501 to 503 - With certain exceptions, spendthrift trusts.

36-21-77 - Law enforcement officers.

36-27-28 - State employees.

Public Benefits

15-23-15 - Crime victims' compensation.

25-4-140 - Unemployment compensation.

25-5-86 - Workers' compensation:

31-7-2; 31-7-1 - Southeast Asian War POW's benefits.

38-4-8; 38-5-5 - Aid to blind, aged, and disabled; other public assistance, including earned income tax credit (In re James, 406 F.3d 1340 (11th Cir. 2005)).

Tools of Trade

31-2-78 - Arms, uniforms, and equipment required to be kept by state military personnel.

Insurance

6-10-8 & 27-14-29 - Life insurance proceeds.

27-14-31 - Disability proceeds up to an average of $250 per month.

27-14-32 - Annuity proceeds up to $250 per month.

27-14-29; 6-10-8 - Life insurance. proceeds and 100% cash value.

27-15-26 - Life insurance, if policy prohibits use to pay creditors.

27-30-25 - Mutual aid association benefits.

27-34-27 - Fraternal benefit society benefits.

Wildcard

6-10-6; 6-10-126 - $7,750 any personalal property (except wages).

Other

Add any applicable Federal Nonbankruptcy Exemptions.

Do I have tell my landlord that I have filed for bankruptcy?

No. You have no obligation to tell your landlord that you have filed for bankruptcy. However, you may look at your lease to see if it contains any provisions about a tenant filing for bankruptcy, such as being grounds for terminating your lease. Plus, your landlord is likely to become a creditor in your bankruptcy proceedings, so he or she may receive notice of the bankruptcy directly from the court.

If I am being evicted by my landlord, can I stop the eviction by filing for bankruptcy?

Maybe, depending on the stage of your eviction proceedings. If your landlord has already completed eviction proceedings and won a judgment of possession, a last-minute bankruptcy filing will not stop your eviction. On the other hand, if the eviction is not complete, a bankruptcy filing may temporarily delay your eviction proceedings, but is unlikely to stop the proceedings altogether.

Can I be evicted if I file for bankruptcy?

Yes, in some circumstances. While a bankruptcy filing does prevent your landlord from terminating your lease or filing an eviction lawsuit against you, the landlord is likely to be able to get permission from the bankruptcy court to terminate your lease and/or evict you in a relatively short period of time. 

What's the Bankruptcy Abuse Prevention & Consumer Protection Act of 2005?

The Bankruptcy Abuse Prevention and Consumer Protection Act of 2005  (BAPCPA) revised the bankruptcy code for filings after October 17, 2005.  The BAPCPA provisions were revised in order to steer away abusive filings, individuals filing for Chapter 7 bankruptcy and have the debts discharged rather than the Chapter 13 bankruptcy which makes them pay their debt and makes a payment plan.

The BAPCPA act puts a more stringent requirement to qualify for Chapter 7 bankruptcy by examining the individual’s ability to repay their debts. A “means test” was also created to determine whether a debtor filing for bankruptcy would be able to file for Chapter 7 or opt for Chapter 13. The means test essentially compares the debtor’s monthly income to the state’s median income and evaluates the debtor’s disposable income after allowance for secured debt and assumed monthly expenses.  Exceeding the median income and having too much money left over after accounting for living expenses won’t qualify an individual for Chapter 7 bankruptcy.

In addition to the above, the revised provisions also increased the filing fees to the court. To file for a Chapter 7 bankruptcy, the filing fee is $299. A Chapter 13 bankruptcy filing fee is $274.

Does my divorce decree protect me if my ex-spouse has filed for bankruptcy and she has listed me as a co-signer on a Schedule D?

If you are contractually bound with your ex­spouse on a debt, the creditor can require the entire payment of that debt from your share of the community property even though the divorce decree assigns the debt to your ex­spouse. Depending on the terms of your divorce decree, you may be able to have certain support obligations under it determined to be non­dischargeable by the bankruptcy court or in state court. If you find out that your ex­spouse has filed for bankruptcy, you should seek legal advice to find out your possible obligations.

What is a bankruptcy disclosure statement?

The disclosure statement is a document that provides a profile of the corporation, financial information and an overview of the proposed plan of reorganization. This information is useful to creditors in deciding whether to accept or reject the proposed plan of reorganization.

Can a homeowner association lien be avoided in bankruptcy?

For the purposes of Chapter 7 bankruptcy, a homeowner association lien is treated as a secured debt, which means that it will not be erased, unlike other unsecured debts. Therefore, you ultimately will be unable to preserve your home, and the lien will be foreclosed upon. In a Chapter 13 bankruptcy, however, you can include the lien in your repayment plan, which will allow you to pay off the debt secured by the lien and keep the underlying real property.

Speak to an Experienced GADSDEN ALABAMA Bankruptcy Attorney Today

This article is intended to be helpful and informative. But even common legal matters can become complex and stressful. A qualified bankruptcy lawyer can address your particular legal needs, explain the law, and represent you in court. Take the first step now and contact Dani Bone & Sam Bone to discuss your specific legal situation at 256-547-1005.