Legal Articles, Bankruptcy & Debt

Since early March 2020 there have been many changes regarding the bankruptcy courts. You are still able to file for bankruptcy, however, most court proceedings and bankruptcy filings are happening over the phone or through ZOOM calls.

Bankruptcy is made for circumstances like COVID 19

As the pandemic Coronavirus (COVID-19) rips through America’s biggest cities, its effect is being thought far beyond the over 140,000 Americans who are confirmed infected. This means America is potentially facing a debt crisis due to this pandemic COVID-19.

Record Unemployment Rates could be a clear indicator of the dark financial days looming. 6.6. Million people filed for unemployment for the week ending 3/28/2020. These high numbers may lead to an influx of bankruptcy filings in the near future.

A tender must be immediately available money but does not have to be made if futile.

The Nevada Supreme Court has recently clarified the law on how payments are applied.

If you get sued by a debt collector in Michigan, learn how to protect your legal rights and understand the legal process

Filing a proof of claim in a chapter 13 bankruptcy case in connection with a debt for which the applicable statute of limitations has passed does not violate the FDCPA.

In response to a $140 million judgment Hulk Hogan, known legally as Terrence Bollea, obtained against, inter alia, Gawker Media, LLC (“Gawker”) and its founder and erstwhile CEO Nicholas G.A. Denton in connection with Mr. Bollea’s allegations that Gawker damaged him by publicizing a video depicting Mr. Bollea and the wife of his friend engaged in sexual intercourse, Mr. Denton filed a chapter 11 bankruptcy case seeking to discharge his personal obligations arising from the judgment and other debts. See In re Nicholas G.A. Denton, Case No. 16-12239 (Bankr. S.D.N.Y.).

Bankruptcy courts are special courts. They are neither Article III courts (Northern Pipeline Constr. Co. v. Marathon Pipe Line Co., 458 U.S. 50 (1982)) nor their adjuncts (Stern v. Marshall, 564 U.S. 462 (2011)), but nonetheless have inherent powers (Law v. Siegel, 134 S. Ct. 1188, 1194, 571 U.S. __ (2014)) and—pursuant to 11 U.S.C. § 105—certain equitable powers. This means that they have broad powers to order equitable remedies—such as specific performance—where no adequate remedy at law exists, to the extent not inconsistent with any other provisions of the Bankruptcy Code. See Law v. Siegel, 134 S. Ct. at 1194, 571 U.S. at __. This is the backdrop against which inequitable conduct by a creditor may lead to subordination of its claim in a bankruptcy proceeding under established, codified, equitable principles. Subordination means that a claim, by judicial decree, is lowered, in whole or part, in priority relative to its ordinary position in respect of one or more other claims.