Chapter 7 vs. Chapter 13 Bankruptcy: Which Is Best for You? See the informative article at https://wtop.com/news/2022/10/chapter-7-vs-chapter-13-bankruptcy-which-is-best-for-you/For those people with questions about chapter 7 bankruptcy please contact Jim Shenwick,Esq. jshenwick@gmail.com 917 363 3391

Holiday Expenses & Bankruptcy What You Need To Know About Filing Bankruptcy Before Holiday Season With the holiday season just around the corner, many Arizona families may be expected to shoulder the accompanying costs using credit cards and other lines of credit. But with inflation increasing the cost of living, and the market declining with that trend projected to continue into the future, this could create a pressure cooker situation of debt. Many clients come to us after the holiday season regretful of overspending on gifts, meals, flights, and decorations. Bankruptcy might be able to help, but it does come with some limitations. To learn more about the possible considerations and issues that could arise from a post-holiday bankruptcy filing, call 480-448-9800 to schedule your free consultation with an experienced member of our bankruptcy team. Chapter 7 or Chapter 13 Bankruptcy Regardless of your reason for filing bankruptcy, the first step is to determine whether you should file Chapter 7 or Chapter 13. The chapter you file could also impact how any debts you have remaining from the holidays are treated. You may be eligible for one, both, or in rare situations, neither. Chapter 7 bankruptcy clears unsecured nonpriority debts, the most common being medical bills, credit cards, and personal loans. If you’re overwhelmed with credit card debt from the holidays, this probably sounds great. But there are limitations to discharging credit card debt with bankruptcy- see more below. Additionally, you need to make sure you are eligible to file for Chapter 7 bankruptcy before you start making plans to discharge debts with it. It is only available to those whose income is below the state median or who pass the Means Test. If the debtor doesn’t meet these income limitations, has property they want to save from repossession, or other circumstances are present, Chapter 13 may be a better solution to holiday-induced debt. Chapter 13 bankruptcy is known as a wage earner’s bankruptcy because it arranges all of the debtor’s disposable income into a reorganized debt payment plan that lasts three or five years. This gives someone who has fallen behind on a secured debt, like a mortgage or a car payment, more time to catch up while protected from repossession. It is also an option for those whose income is too high for Chapter 7. Talk to a Phoenix bankruptcy attorney to learn more about the unique benefits offered by Chapter 13 bankruptcy. Credit Card Limitations in Bankruptcy If there were no limitations on discharging credit card debt in bankruptcy, many people would open up as many credit cards as they could and max them out immediately before filing. To prevent this, there are credit card debt discharge limitations meant to prevent debtors from intentionally opening lines of credit with the plan to discharge them in bankruptcy. These limitations are set forth by 11 U.S.C. § 523. Luxury purchases totaling $800 or more in the 90 days before your filing won’t be included in the discharge. The same goes for cash advances of $1,100 or more in the 70 days before filing bankruptcy. Essentially, you can’t spend thousands of dollars on holiday gifts and festivities and discharge it a couple of months later in bankruptcy. Your creditor will need to object to their debts being discharged if they believe you have violated the bankruptcy guidelines. Your defenses against their objections will be heard at an adversary proceeding. You may want to consider hiring a Peoria bankruptcy attorney for this hearing if you haven’t retained one for your case already. If your creditor(s) is successful at the adversary proceeding, their debt will remain untouched by your bankruptcy discharge. Luxury vs. Necessity An argument can almost always be made that a purchase was a necessity rather than a luxury. Things like gas and groceries for regular activities are necessities, while things like flights and hotels aren’t considered necessities by the court. Some holiday gifts could be considered necessities- for example, giving your child off-brand shoes they need for sports is more necessary than buying your child the newest and trendiest Nikes. Likewise, gifting your spouse something like a new blender or piece of furniture would be more necessary than an expensive watch or jewelry. What If I Purchased Gifts on a Payment Plan? For some larger gifts, you may have the option to pay for the item in installments after receiving the item. Common examples include furniture, appliances, cell phones, and other technological devices. If you file for Chapter 13 bankruptcy, these will be secured debts that must be paid off in your payment plan. The plus side is that it means you get to keep financed assets in a Chapter 13 bankruptcy.  However, you could run into issues if you financed holiday presents and file bankruptcy before paying off their balances. Some creditors may let it slide, especially if you were close to paying off the debt. But sometimes, the lender will repossess the asset, which can be awkward and inconvenient. Can I Ever Get Another Credit Card After Bankruptcy? If credit cards are a major part of your financial strategy, filing for bankruptcy comes with serious drawbacks. You will lose all of your credit cards when your bankruptcy petition is filed. You will not be able to use credit cards for the duration of your bankruptcy. A Chapter 7 bankruptcy usually lasts 3 to 6 months, and a Chapter 13 bankruptcy lasts 3 or 5 years. You will need to apply for new credit cards after your case has been discharged (or dismissed). After your bankruptcy is discharged, you likely won’t be short on offers to open new lines of credit. Many lenders send out offers to bankruptcy debtors once their cases have been discharged. But just because your mailbox will be full of the credit card offers after your case has been discharged doesn’t necessarily mean that they will be good ones. Make sure to read all of the fine print on any offers you receive for lines of credit after bankruptcy. They could have unfavorable terms like high-interest rates, annual fees, and more. Opening up new credit cards with poor terms and accruing balances on them will land you right back in the situation you were in before bankruptcy. However, making timely payments on new credit cards can also help improve your credit score after your case has been discharged. But credit cards aren’t the only option available to post-bankruptcy debtors looking to increase their credit scores. To learn about more steps you can take to rebuild credit after bankruptcy, call our firm for your free consultation at 480-448-9800. Contact Our Arizona Law Team For Your Ideal Bankruptcy Results Bankruptcy doesn’t have to be the stressful and embarrassing experience that it is often portrayed to be. The guidance of a compassionate and skillful bankruptcy firm can help you feel confident knowing you have made the best choice for your situation, and you have the control to create a positive credit history post-bankruptcy. Many people come to us simply for information about bankruptcy, assuming they don’t have the financial resources to afford an attorney. At My AZ Lawyers, our professional bankruptcy team prides itself on offering flexible, affordable payment options for Arizona families struggling with debt. To learn more, as well as to see if you qualify for our zero-down filing option, call 480-448-9800.   Arizona Offices: Mesa Location: 1731 West Baseline Rd., Suite #100 Mesa, AZ 85202 Office: (480) 448-9800 Email: info@myazlawyers.com Website: https://myazlawyers.com/ Phoenix Location: 343 West Roosevelt, Suite #100 Phoenix, AZ 85003 Office: (602) 609-7000 Glendale Location: 20325 N 51st Avenue Suite #134, Building 5 Glendale, AZ 85308 Office: (602) 509-0955 Tucson Location: 2 East Congress St., Suite #900-6A Tucson, AZ 85701 Office: (520) 441-1450 Avondale Location: 12725 W. Indian School Rd., Ste E, #101 Avondale, AZ 85392 Office: (623) 469-6603 The post Holiday Expenses & Bankruptcy appeared first on My AZ Lawyers.

Choosing to file for bankruptcy can be a difficult but necessary decision for individuals struggling financially. When you decide to file for bankruptcy, an automatic stay might go into effect, giving you the immediate relief you need to move forward. In bankruptcy cases, an automatic stay places a pause on certain actions by creditors. When an automatic stay is in effect, creditors are not allowed to engage in certain debt collection efforts. Not all debts are protected by an automatic stay. Although an automatic stay can last for the duration of your bankruptcy, that doesn’t mean it will. Creditors can motion for an automatic stay to be lifted, making you vulnerable to harassment. In order to keep an automatic stay in effect throughout bankruptcy, hire an experienced attorney to represent you. Our lawyers are here to help you regain financial stability by filing for bankruptcy. For a free case evaluation with the Pennsylvania bankruptcy lawyers at Young, Marr, Mallis & Deane, call today at (215) 701-6519 or (609) 755-3115. What is a Bankruptcy Automatic Stay? For those struggling to handle their debts and financial difficulties, filing for bankruptcy may be the solution. In most cases, as soon as debtors file a claim with help from a bankruptcy attorney, an automatic stay will go into effect. But what is an automatic stay, and what does it mean for your bankruptcy case? In a bankruptcy claim, an automatic stay essentially pauses certain debt collection efforts by creditors. This is relief immediate and requires no additional paperwork on behalf of bankruptcy filers. Once you have filed for bankruptcy in federal court, an automatic stay will go into effect provided you meet the necessary criteria. When an automatic stay goes into effect, creditors are no longer permitted to contact you regarding certain debts. They will be paid in due time, whether by liquidating your assets or through a repayment plan, the specifics of which will be determined during your bankruptcy case. With an automatic stay in place, creditors will no longer be allowed to call or harass you regarding certain outstanding debts. An automatic stay can provide instant relief to debtors regarding certain debt collection efforts. Remember, this perk only goes into effect once you have filed for bankruptcy in your state. Hire a Cherry Hill bankruptcy lawyer to use an automatic stay to your advantage and ease the stress surrounding your debts. Your attorney can help you file for bankruptcy and get an automatic stay so that creditors’ debt collection efforts cease. It’s also important to note that while an automatic stay is in effect, creditors cannot bring litigation against you, continue wage garnishments, or engage in other similar actions. You will also be safe from home foreclosure efforts, eviction, vehicle repossession, disconnection of utilities, and more. To learn more about how an automatic stay can help you get relief from financial difficulties, hire a lawyer right away. Does an Automatic Stay Apply to All Debts? Automatic stays are only effective against the collection efforts of certain debts. Learning which of your debts are covered by an automatic stay and which are not is important. Otherwise, you may be under the impression that you no longer have an immediate financial liability to a creditor, causing you to fall further into financial instability. After an automatic stay has gone into effect for your bankruptcy case, speak to your attorney. Your lawyer can explain which of your debts are covered and which are not. There are exceptions to automatic stays, which don’t protect against collection efforts for certain debts. Often, these are “non-dischargeable” debts. For example, an automatic stay cannot and will not stop any litigation attempting to establish or collect alimony or child support. The IRS is also allowed to demand tax returns and perform audits on debtors when an automatic stay is in place. Automatic stays are not likely to affect criminal cases involving debt issues either. Liability for certain loans, like those from job-related pensions, are also unlikely to be affected by an automatic stay. Remember, certain non-dischargeable debts are unaffected by an automatic stay. That means you may remain immediately liable for payments to creditors despite an automatic stay being in place. To learn which debts are covered by an automatic stay and which are not, speak to your bankruptcy attorney. It is crucial to remain abreast of your debt liability and prevent it from worsening. How Long Can an Automatic Stay Last? In the best-case scenario, an automatic stay will last for the duration of your bankruptcy. Generally, the length of an automatic stay will depend on the specific type of bankruptcy you choose to file for, either Chapter 7 or Chapter 13. Learning how long an automatic stay is likely to last is important so that you know what to expect during bankruptcy. Generally, an automatic stay will remain in effect throughout an entire bankruptcy, with exceptions. If you filed for Chapter 7 bankruptcy, which allows filers to pay their debts by liquidating their assets, an automatic stay might last anywhere from three to five months. Because Chapter 7 bankruptcy allows for faster repayment of debts, an automatic stay for a Chapter 7 filer may be quite short. If you file for Chapter 13 bankruptcy, an automatic stay may last anywhere from three to five years. Chapter 13 bankruptcy doesn’t require liquidation of assets and instead allows debtors to pay creditors via a court-approved repayment plan. Depending on the size of your debts and your current income, an automatic stay and a Chapter 13 bankruptcy may last several years. It is important for debtors to understand that each bankruptcy case is unique. While an automatic stay will likely go into effect if you file for either Chapter 7 or Chapter 13 bankruptcy, it may affect your case differently than others. Ask an attorney for insight to better anticipate how long an automatic stay may remain in effect as you attempt to regain financial stability. An experienced Bucks County bankruptcy lawyer can assess your case and all its factors and estimate how long an automatic stay will last. Can Creditors Lift an Automatic Stay? While automatic stays can provide instant relief for debtors and remain in effect for the duration of bankruptcy, they are not guaranteed to last. In fact, automatic stays can be lifted if a creditor has reason to request so. To prevent that from happening, hire an experienced bankruptcy attorney who can help you navigate your claim. In certain circumstances, an automatic stay might be lifted, meaning filers no longer have protection from certain debt collection efforts. When an automatic stay is removed, creditors can then restart debt collection efforts, leaving you vulnerable to harassment and litigation from creditors and debt collectors. In order to lift an automatic stay, creditors must file a motion of relief from the automatic stay. If successful, you will become responsible for paying certain debts immediately. Regardless of whether or not you are preparing a repayment plan or are in the process of liquidating your assets, creditors who have been relieved from an automatic stay might begin hounding you for payments. You may wonder why creditors would want an automatic stay lifted when they will be paid back through a bankruptcy case. Certain creditors, namely secured creditors like mortgage lenders and car lenders, are more likely than others to file a motion of relief from the automatic stay. Secured creditors generally have a bigger stake in the game, so to speak. They either want to get paid immediately or repossess your property by getting an automatic stay lifted. Depending on your payment history to certain creditors, a motion of relief from the automatic stay may be more or less likely to succeed. Remember, once an automatic stay is lifted, you are vulnerable. Without an automatic stay, you won’t have the time you need to take a breath and organize your finances. An experienced attorney can fight against a motion of relief stay to ensure you remain protected from persistent creditors while in bankruptcy. Can Debtors Unintentionally Lift an Automatic Stay? Unfortunately, debtors might lift an automatic stay in a bankruptcy case without even realizing it. Failure to meet certain benchmarks or follow through with your intentions can cause an automatic stay to be lifted automatically. Automatic stays can also be lifted without request from a creditor if a debtor fails to follow through with their statement of intentions during a Chapter 7 bankruptcy case. A statement of intentions in a Chapter 7 bankruptcy case is a document where debtors list all secured debts and identify how they will amend them. Debtors can choose between the following four options when setting an intention regarding their debts: Surrender the property Redeem the property Reaffirm the debt Retain the property Each option comes with pros and cons and the choices you make will depend on your personal finances. Once you have set your intentions for dealing with your secured debts, you must take the necessary steps to see them through within the next month. If you have not done so within 30 days, an automatic stay will be lifted, leaving you vulnerable to creditors. To prevent this from happening, hire an experienced bankruptcy attorney. Will You Get an Automatic Stay if You Have Previously Filed for Bankruptcy? An automatic stay can provide you with the immediate relief you need to regain your footing while heading into bankruptcy. Because of that, an automatic stay is a privilege of sorts. If you’ve never filed for bankruptcy before, you can benefit from an automatic stay so long as you follow the rules of your bankruptcy. However, if you’ve previously struggled financially and filed for bankruptcy, you might become ineligible for an automatic stay. Prior bankruptcies can affect your eligibility for an automatic stay. If you filed for bankruptcy in the past year and file again, an automatic stay for your current case will only remain in effect for 30 days. After that point, it will be automatically lifted unless your Philadelphia bankruptcy lawyer files a successful motion to extend the automatic stay in time. If you have filed for bankruptcy multiple times in the past year, you will not be granted an automatic stay without provocation. To get a stay on debt collection while under bankruptcy, your attorney must file a motion to impose the automatic stay. Otherwise, debt collectors will not be prevented from harassing you about payments during your bankruptcy case. What Happens if a Creditor Violates an Automatic Stay? Automatic stays exist to protect debtors from harassment as they attempt to regain financial stability. If a creditor violates the rules of an automatic stay while it is in place and continues to contact you about outstanding debts, inform your bankruptcy attorney. Violating an automatic stay can come with serious consequences for creditors. An automatic stay can provide relief for debtors, even temporarily. If a creditor chooses to violate an automatic stay, tell your lawyer. Willfully violating an automatic stay can make a creditor liable for certain costs, like attorney’s fees and other damages. Violating an automatic stay can also make a creditor liable for punitive damages in some cases. Filing for bankruptcy is a responsible choice to make when dealing with financial struggles. This is why filers are rewarded with automatic stays. Ignoring a stay on debt collection and proceeding to harass debtors trying to regain their footing is not permitted. If a creditor attempts to contact you in any way about debt collection without your attorney present, inform your lawyer. They may have violated the automatic stay, opening them up to severe consequences. Call Our Attorneys About Your Bankruptcy Case Today If you need to regain your financial stability by filing for bankruptcy, your attorneys can help. For a free case evaluation with the Chester County bankruptcy lawyers at Young, Marr, Mallis & Deane, call today at (215) 701-6519 or (609) 755-3115.

How Often Can You File For Bankruptcy In Arizona? Arizona Bankruptcy Guide: How Often Is It Allowed? There’s a myth that an individual can only file for bankruptcy once in their lifetime, but this isn’t true. There are no limits on how many times a person can file for bankruptcy. However, there are restrictions on the timing between multiple bankruptcy filings. In order to avoid the court believing you to be a bad faith filer and to help yourself obtain the full benefits of bankruptcy, it’s crucial to comply with these restrictions. If you’re unsure about the timing of filing for bankruptcy, contact an experienced Phoenix bankruptcy lawyer to discuss your situation. How Long Do I Need To Wait To File Bankruptcy After Receiving a Discharge? A common situation is when an individual files for bankruptcy, has their debts successfully discharged, and then accrues new debt that also needs to be discharged. Specific timing requirements apply to these situations. If you filed a Chapter 7 bankruptcy and received a discharge: You will need to wait at least eight years from the date of the previous filing in order to discharge another Chapter 7 bankruptcy, or You will need to wait at least four years from the date of the previous filing in order to discharge a Chapter 13 bankruptcy If you filed a Chapter 13 bankruptcy and received a discharge: You will need to wait at least six years from the date of the previous filing in order to discharge a Chapter 7 bankruptcy, or You will need to wait at least two years from the date of the previous filing in order to discharge another Chapter 13 bankruptcy The timing of a second bankruptcy filing after a Chapter 13 bankruptcy discharge can become more complicated if you paid off all or most of your debts, so consult with a Tucson bankruptcy attorney to understand how the regulations apply to your situation. If you have had multiple bankruptcies already discharged, you will need to carefully examine the necessary waiting periods. However, eight years is the longest waiting period that can apply. If it has been longer than eight years since your last bankruptcy discharge, you do not need to wait to apply again. Filing Bankruptcy vs. Receiving a Discharge An important consideration is that these waiting periods do not prevent you from filing for bankruptcy; they only determine whether your bankruptcy is eligible to be discharged. For many people, the main reason for filing for bankruptcy is to obtain a discharge and be relieved of overwhelming debt. The bankruptcy filing may have no value if they are ineligible to have their debts eliminated. However, there are some situations where filing for bankruptcy can be beneficial even if you do not receive a discharge. For example, if you are behind on your mortgage payments and a foreclosure is looming, filing for a Mesa Chapter 13 bankruptcy can give you the opportunity to catch up on your payments. Even if you don’t get a discharge, the bankruptcy was still useful because you were able to catch up on your mortgage payments. In these cases, talking with your attorney about your options can be extremely helpful and enable you to file for bankruptcy strategically. If My Previous Bankruptcy Case Was Dismissed, When Can I File Again? Another common situation is when an individual files for bankruptcy, is unable to complete the bankruptcy for some reason, and the case is dismissed without any debt discharge. If you still need your debts to be discharged, you may want to file for bankruptcy again. This is possible, and you’ll be able to work with more narrow timing restrictions: You will only need to wait 180 days to file again if: Your case was dismissed because you willfully did not abide by court orders or did not appear in court as requested, or You requested and obtained a voluntary dismissal of your case after a creditor asked for relief from the automatic stay The 180 day waiting period only applies if one of these conditions is met. If not, you can file a second bankruptcy petition immediately. What Other Considerations Should I Know? If you have filed a bankruptcy petition that might be dismissed and you want to be sure you can file again without the waiting period, it’s critical that you avoid mistakes that can make you subject to the 180 day waiting period. This includes ignoring court orders, failing to show up in court, or failing to do anything that is needed to move your case forward. Your Glendale bankruptcy lawyer will advise you throughout this process. Sometimes your failure to comply is not considered “willful,” in which case you may not be subject to the waiting period. For example, if you are unable to make a payment to your Chapter 13 bankruptcy because your income changed for reasons outside of your control, that may not be considered willful. Other situations can become more complicated, but your Chandler bankruptcy attorney can provide guidance. Are You Wondering Whether You Can File For Bankruptcy? The attorneys at My AZ Lawyers have helped many people just like you navigate the complexities of Arizona bankruptcy filings. We can evaluate your eligibility for bankruptcy, help you understand your best options, and develop a unique strategy to help you maximize the benefits of bankruptcy. Schedule your free, confidential consultation by calling our office today!     Arizona Offices: Mesa Location: 1731 West Baseline Rd., Suite #100 Mesa, AZ 85202 Office: (480) 448-9800 Email: info@myazlawyers.com Website: https://myazlawyers.com/ Phoenix Location: 343 West Roosevelt, Suite #100 Phoenix, AZ 85003 Office: (602) 609-7000 Glendale Location: 20325 N 51st Avenue Suite #134, Building 5 Glendale, AZ 85308 Office: (602) 509-0955 Tucson Location: 2 East Congress St., Suite #900-6A Tucson, AZ 85701 Office: (520) 441-1450 Avondale Location: 12725 W. Indian School Rd., Ste E, #101 Avondale, AZ 85392 Office: (623) 469-6603 The post How Often Can You File For Bankruptcy In Arizona? appeared first on My AZ Lawyers.

Judge Catherine McEwen (Bankr. M.D. Fla.) and panelists David Mawhinney (Bowditch, Framingham, Mass.), Amy Denton Mayer (Stichter Riedel Blain Postler, PA, Tampa, Fl) and Kirk Burkley (Bernstein-Burkley, P.C., Pittsburgh, PA) donned their wizard's hats to present 5 Secrets to a Magical Sub-V. Both David and Amy serve as Subchapter V trustees and represent SubV debtors, while Kirk offered the creditors' viewpoint. Their program covered five areas of Subchapter V law and practice.1.    Who Goes There? Eligibility.While many of the early cases dealt with Subchapter V eligibility, few actual cases have eligibility fights. Eligibility is not the same as jurisdiction and can be waived by the parties. Kirk said that eligibility fights were just not where he wanted to spend resources. When looking at the debt owed by a debtor, the distinction between business and consumer may not always be obvious. For example, a Home Equity Line of Credit might be used to finance a business. David said that while a Single Asset Real Estate Debtor might not be eligible for Subchapter V, the parties might want to wait and see where the case was going before immediately jumping on eligibility. (However, it is important to note that eligibility must be raised within thirty days after the 341 meeting or it is waived). In order to meet the commercial or business activity test, it is necessary to show that the business is currently doing something. However, to quote the Princess Bride, they said there is a big difference between mostly dead and completely dead.2.    The Marvelous, Mysterious Trustee.Amy said that the Subchapter V trustee is neither friend nor foe, but is there to assist in the process. David said that the trustee can deal with the different personalities in the case and build trust. Kirk said that many cases couldn't have gotten done without the help of the Subchapter V trustee. He said that anything that the trustee digs into is work that he doesn't have to charge his client for. Amy stressed that the SubV trustee is not a mediator. If the court requires "meet and confer" sessions, it is good to flag those conversations as Rule 408 settlement discussions. She said that debtors will sometimes provide drafts of their plans to the trustee for input. 3.    Don't Run Out of TimeGetting an extension of time to file a plan is tricky. The standard is whether the need for an extension "is attributable to circumstances for which the debtor should not justly be held accountable." The panelists said that "causal links" will be good for an extension while lazy, chronically late, generalized excuses will not be successful. The Seven Stars case illustrates that a debtor's decision to opt into Subchapter V after its deadlines had run was within the control of the debtor. The panelists recommended that debtor's always ask for an extension before the time expires. That way, if the court says no, you can still file a placeholder plan. While this is a matter of controversy, the Code says that a plan must be filed within the 90 days, not that it must be a confirmable plan.4.    Conjuring ConfirmationDavid and Amy stressed the need to have good projections and to understand the numbers. David said that as trustee "to be credible, I must be informed." Amy recommended checking the projections against historical performance. They also said that if a debtor doesn't have good financial reporting, it had better get it fast. 5.    Remedy for What Ails YouThis is a quirk of SubchapterV. Section 1191(c)(3)(B) says that a plan needs to provide "appropriate remedies, which may include the liquidation of nonexempt assets, to protect the holders of claims or interests in the event that payments are not made." Some courts have said that a plan need not contain "appropriate remedies" if the debtor is certain to make its payments. However, the bigger practice tip, according to Kirk, is that adequate default remedies are part of the standard for cramdown. If a debtor wants to get a consensual plan, it may agree to whatever remedies the creditor requests. Kirk stressed that the goal of remedies is to avoid having to go back to court if something goes wrong. For secured creditors, remedies should include fast ways to get at at their collateral. The panelists discussed several creative remedies for default. One option that was suggested was having the debtor grant a lien on certain property in favor of the SubV trustee for the benefit of the creditors.  A landlord might negotiate a waiver of certain notice rights before terminating a lease. Creditors might ask for "Phoenix" claims in which the full amount of their claim springs back in the event of a default. If an equipment lender doesn't have a provision for GPS trackers in its current loan, it might get them in a negotiation. Creditors have an incentive to negotiate for default remedies. In the Urgent Care case, the Court said that preserving state court remedies was enough. The parties also discussed the Section 1111(b) election. Kirk stressed that there is nothing in Subchapter V that says the election doesn't apply. If the 1111(b) election is triggered, the plan may go for more than five years. While a Subchapter V debtor must pay disposable income for five years, the panelists suggested that the plan could go longer. They pointed to Chapter 12 as an example where payments to a secured creditor can go beyond five years. The written materials submitted with the program contain nine separate papers which can be found here. 

 Forbes has an informative article about Biden’s Student Loan Forgiveness Application Is Here — 5 Tips Before You SubmitThe article can be found at https://www.forbes.com/sites/adamminsky/2022/10/15/bidens-student-loan-forgiveness-application-is-here---5-tips-before-you-submit/?sh=4f09346b3358J Im Shenwick, Esq 212 541 6224 jshenwick@gmail.com

Every year numerous awards are presented at the National Conference of Bankruptcy Judges. These awards are an opportunity to recognize people who have contributed to the insolvency profession.Ingrid Hillinger received the Excellence in Education Award. Her accomplishments include establishing the Boston College School of Law Public Interest Law Fund. Five oof her students have gone  on to be judges. However, she was a reluctant bankruptcy educator. In 1985, she was invited to be a guest teacher at the University of Texas School of Law. She was asked to teach secured credit and bankruptcy. She demurred that she had never taught bankruptcy before but was assured that she would do fine. I was one of her students in that inaugural class. I remember that on the first day of class she said that bankruptcy was like someone proposing a law that said "debtors shall pay their debts" and someone popping up and offering an amendment to insert the word "not" into the statute.  Said said that her hair was brown when she came down to Texas and was gray when she returned. She said "bankruptcy did that." Her bio can be found here.Judge Harlan "Cooter" Hale presented the Inns of Court Award to Judge John E. Waites (Bankr. D. S.C.). In his acceptance speech, he stressed the time and value of Inns of Court to younger members. More information on Judge Waites can be found here. Judge John Hopkins (Bankr. S.D. Ohio) received the DEI Leadership Award from the National Association of Bankruptcy Judges. Judge Hopkins's story is very inspiring. He moved from Georgia to Ohio to escape the Jim Crow South. His teachers in Ohio recognized his talent and recommended that he attend the prestigious Middlesex School in Concord, Massachusetts. He graduated from the Moritz College of Law at the University of Ohio in 1985. He worked at Squire Sanders & Dempsey and the U.S. Attorney's Office before being named as a Bankruptcy Judge in 1996. He served as President of NCBJ in 2007. He has a long list of involvement in worthy causes, which can be found here. President Joe Biden has nominated him to serve as a U.S. District Judge for the Southern District of Ohio.  In his acceptance speech, he said that his personal hero was Abe Lincoln, the 16th President of the United States, who practiced bankruptcy law. He quoted from the Gettysburg Address: that we here highly resolve that these dead shall not have died in vain—that this nation, under God, shall have a new birth of freedom—and that government of the people, by the people, for the people, shall not perish from the earth.Ron Peterson presented the Lawrence P. King Award for Excellence in Bankruptcy on behalf of the Commercial Law League of America to Prof. Bruce Markell of Northwestern University's Pritzker School of Law.  Prof. Markell clerked for Judge Anthony Kennedy when he served on the 9th Circuit Court of Appeals. Prof. Markell served as United States Bankruptcy Judge for the District of Nevada and served on the 9th Circuit Bankruptcy Appellate Panel from 2004-2013 as well.   In 2016, he completed a project redrafting Kosovo's bankruptcy law. Judge Michael G. Williamson was awarded the Judger William L. Norton Judicial Excellence Award from the American Bankruptcy Institute. He was nominated by his colleagues from the Middle District of Florida where this year's NCBJ was being held. He was unable to attend due to health issues. However, his colleagues assured him that they had actually nominated him last year before his cancer struck. Judge Williamson spent two decades in private practice and has served as a bankruptcy judge for 22 years. He said that when he didn't understand something, he wrote on it. He has spoken at nearly 400 seminars and written numerous opinions. He has taught principles of insolvency in countries from Azerbaijan to Zimbabwe. He spent considerable time in Afghanistan. From his time abroad he learned that we often take the rule of law for granted. One of his contributions was authoring a Practical Evidence Manual, which can be found here.     

When the nation's bankruptcy judges, academics and practitioners get together for the National Conference of Bankruptcy Judges, there are certain topics that tend to dominate. This year mass torts were a through line in many of the presentations.  A presentation on pushing the boundaries of chapter 11 suggested that mass tort cases did not have the same urgency as melting ice cube operating businesses. A panel on third party releases noted the difference between the use of third party releases to protect guarantors as opposed to those developed in mass tort cases. ABI Editor at Large Bill Rochelle has nightmares about Congress seeing abuses in mass tort cases and passing legislation without the input of bankruptcy experts. His panel also delved deeply into the Texas Two-Step.  There was even a presentation by a Pulitzer Award winning journalist and the law professor who helped him crack the source of the opioid epidemic.  As I write up my articles from this year's conference, there will be many references to issues raised by mass tort cases.Another message of the conference was that bankruptcy is back. This year's conference drew nearly 1,100 attendees. There was a palpable feeling that we are on the brink of a major recession, a conclusion reinforced by one of ABI's sessions. If the extravagance of the Pachulski After Party is any indication, the business of failure is good. I have included a photo of me holding a snake at the Pachulski Party to provide I was really there. They wouldn't let me hold the alligator. Some of the other presentations included an excellent panel on Subchapter V, an ethics presentation from Nancy Rapoport, discussions of Crypto Companies in bankruptcy, a documentary about the City of Detroit bankruptcy and a panel on the role of judges. One thing that I enjoyed was two presentations which touched on Chapter 11-adjacent topics with non-bankruptcy speakers. This was the case with the opioid and City of Detroit presentations. I enjoyed the opportunity to meet with a lot of my colleagues and judges. While I may never appear in front of these judges (especially the retired ones), it is useful to hear from a number of judicial perspectives. I especially recommend the Dine-Around program where practitioners are paired with a judge for an intimate dinner. Next year's conference will be in Austin. I hope to welcome many of you to my town.  

 PR News Wire has a post on the differences between Chapter 7 and 11 for a small business. The post can be found at https://www.prnewswire.com/news-releases/differences-between-chapter-11-and-chapter-7-bankruptcy-301651391.htmlJim Shenwick, Esq jshenwick@gmail.com 212 541 6224

 Bills have been introduced in Congress to amend the bankruptcy laws. An excellent article discussing the proposed law titled "Consumer Bankruptcy Overhaul Envisioned in New Bill: Explained" can be found at https://news.bloomberglaw.com/bankruptcy-law/consumer-bankruptcy-overhaul-envisioned-in-new-bill-explained-1James Shenwick, Esq jshenwick@gmail.com 212-541-6224