https://gothamist.com/news/future-of-nycs-iconic-yellow-cabs-looks-like-another-ride-hailing-appNew York City’s yellow cabs may operate and function more like their ride-hailing app competitors in the future, according to the Taxi and Limousine Commission’s strategic plan released late Friday.The agency said it wants to roll out shared rides, variable pricing and be included in transit apps that compare taxi prices to other ride services “in the coming years.”“TLC is excited about ways that technology and innovation can facilitate the taxi industry’s continued recovery from the impacts of the pandemic,” TLC Acting Commissioner Ryan Wanttaja wrote in a statement. “The Taxi Strategic Plan includes big ideas that will help ensure the long-term viability of the industry, and we are looking forward to working with drivers, industry members, and other stakeholders on implementing these initiatives.”The plan includes 40 recommendations, some of which are currently underway, like the medallion debt relief program. Other ideas would change the way yellow cabs have historically operated, with plans to open the door to testing automated vehicles and exploring a future of prices that rise and fall based on demand, as opposed to a flat meter rate.The TLC said it is committed to “supporting the Taxi industry and its future as a critical part of New York City’s transportation network,” and noted these 40 suggestions were created as “a first step to ensuring the continued viability of the industry.”The yellow cab industry has been facing headwinds for a decade now. For-hire vehicle apps entered the city in 2012, leading to a decline in taxis.The value of a taxi medallion was more than $1.2 million in 2014, but is now worth about $100,000. The medallions’ nosediving worth has sent owners – taxi drivers who thought the medallion was a foothold in the middle class – into financial and mental crises.These upheavals have been further exacerbated by the pandemic, which has wiped out any fares from tourism and business sectors. The TLC’s initiatives received mixed reactions, with the drivers’ union hoping for more actions to improve workers’ livelihoods and drivers eager for any possible changes that will earn them higher wages.From the 2022 Taxi Strategic PlanTAXI AND LIMOUSINE COMMISSION Bhairavi Desai, executive director of New York Taxi Workers Alliance which represents taxi drivers, said she was glad to see that the TLC plan includes increasing the flat rates to and from the airports, as well as continuing with the medallion debt relief.The medallion debt program, which was announced last November , followed a two-week hunger strike workers went on last year, seeking relief from the city. The strategic plan notes that the city has agreed to be the guarantor on the principle of medallion loans that are written down to “$170,000 or less, with an interest rate of 5% or less, and that are fully amortized over 20 years.”But Desai said she was dismayed that the TLC is trying to change the way yellow cabs operate to make them function more like Uber and Lyft.“We need to replace that economic model that’s already left Uber and Lyft drivers at sub-minimum wages and use this as an opportunity to elevate the standard so all drivers can earn more,” Desai said.But some yellow cab drivers said they think the TLC’s plan is a positive move.“We need something to compete with Uber, and I think this is the right step. I feel like this should help the yellow cab industry,” Al Khan said. “I’m hopeful … I don’t see the downside.”Khan, a 29-year-old Staten Island resident, has been driving for 10 years. He said he would still like to see the city restrict more for-hire vehicles from being allowed on the streets.The TLC’s document noted it will continue to reevaluate the number of for-hire vehicles every six months and will decide whether to issue new licenses.While there are 13,587 taxi medallions, the document notes at the end of 2021, only 6,750 were actively picking up passengers, while the others were in storage.From the 2022 Taxi Strategic PlanTAXI AND LIMOUSINE COMMISSION Yellow cab ridership is still down from pre-pandemic levels. While there were over 250,000 taxi rides in February 2020, there were about 106,000 this February. Still, that’s an increase from January 2022, which saw just 79,000 taxi trips.The TLC plan also calls for advocating to avoid any additional MTA congestion pricing charges. The first phase of congestion pricing, which passed the state legislature in 2019, included a $2.50 surcharge on all taxis that drive below 96th Street, which the TLC document notes is nearly every trip that isn’t an airport trip. The details of the next phase, how much drivers that enter the congestion zone below 60th Street might be charged and which vehicles would be exempted, will likely be announced later this year.“TLC will work with industry stakeholders and governmental partners to advocate that Taxis be excluded from congestion pricing,” the plan noted.The MTA hasn’t said if taxis will be exempt from the higher charges, which could be as much as $23 for an E-Z pass user, and $35 for others, according to details during the first round of public hearings on congestion pricing.“Any credits, discounts or exemptions for any vehicles need to be counterbalanced by not just charges on other drivers, but also on the impact they will have on traffic flows as the primary purpose of the Central Business District Tolling Program is to reduce congestion in the central business district and raise sufficient funds to support $15 billion for the region’s subways, buses and commuter railroads,” MTA spokesperson Aaron Donovan wrote in a statement.Still, other drivers said there are things the TLC can’t control that are still contributing to low wages and ongoing hardships for drivers, like gas prices, and the cost of leasing vehicles“We are suffering,” MD Islam, 52, who has been driving a cab for eight years, said. “Lose money, too much lose money, that’s the problem.”

Traps and grey areas abound when one spouse files bankruptcy during or after a divorce. Inattention by the non-filing spouse can result in the bankruptcy discharge of spousal claims that might actually be nondischargeable. One of those traps involves the differing treatment in bankruptcy of debts to a former spouse incurred in the course of […] The post The Complex World Of Interspousal Claims In Bankruptcy appeared first on Bankruptcy Mastery.

 https://www.reuters.com/legal/transactional/bankruptcy-filings-are-creeping-back-up-early-2022-2022-04-05/(Reuters) - Bankruptcy filings have started to increase this year and the number of new cases filed in March jumped significantly from February, but remain below last year's numbers, according to data released on Tuesday by legal research firm Epiq.The total number of new commercial and consumer bankruptcies filed in March grew 33.5% over the month prior, according to Epiq, with consumer filings increasing by 34% and commercial cases jumping by 26%. Those figures build on the slight upward trend that began in February, which brought 3% more new bankruptcies than January, according to Epiq’s data.But, the overall number of filings are still down compared to last year. The first quarter of 2022 brought a 17% decline in new filings compared with the same period in 2021, with consumer cases down 16% and commercial cases down 25%.Bankruptcy filings have largely dipped since the COVID-19 pandemic hit the U.S. in March 2020, as government aid programs helped keep individuals and businesses afloat. But experts say that as those aid packages dry up, people and companies alike will start seeking debt relief via bankruptcy again.“Amid rising interest rates, growing inflation concerns, worker shortages and supply chain challenges, access to bankruptcy is imperative for struggling consumers and businesses,” Amy Quackenboss, executive director of the American Bankruptcy Institute, said in a statement on Tuesday.Chapter 11 cases, which encompass larger commercial bankruptcies, were up 38% in March over February, but down 43% for the first quarter of 2022 compared with the same period in 2021.Small business bankruptcy filings known as subchapter V cases, a new type of filing that went into effect in February 2020 under the Small Business Reorganization Act, hit record numbers last month. Epiq said the 81 cases filed the week of Mar. 21 is the highest weekly total ever for that type of bankruptcy.That spike came just before the $7.5 million debt limit for businesses that file under subchapter V was set to drop down to $2.7 million, though legislation is underway to permanently bring the debt limit back up to $7.5 million.Individual filings could also increase if Congress passes legislation that would increase the debt limit under Chapter 13 of the bankruptcy code to $2.75 million from the existing $1.2 million. The bill, which was introduced in the Senate last month and has bipartisan support, aims to simplify eligibility for Chapter 13 protection and make it easier for self-employed people to qualify for bankruptcy relief.

 Preoccupied Congress Fails to Act, Sending Debt Limit Back Down to $2.7 Million and Reducing Availability of Subchapter V Protection for Small Businesses See article at https://lnkd.in/dMyGQ Wq6Due to a lack of action by Congress, the Small Business Bankruptcy Law known as Sub V, debt limit, will be reduced to $2.7 million, which will limit the number of distressed companies that will be able to file for Sub V bankruptcy protection. Jim Shenwick 212 541 6224 jshenwick@gmail.com

 https://www.nytimes.com/2022/03/28/technology/uber-taxis-san-francisco-deal.html

 https://www.nytimes.com/2022/03/24/business/uber-new-york-taxis.html

 Interesting article about Boris Becker bankruptcy filing and allegedly hiding assets. The article can be found at https://www.espn.co.uk/tennis/story/_/id/33570612/boris-becker-acted-dishonestly-hiding-wimbledon-australian-open-trophies-declaring-bankruptcy?platform=amp Jim Shenwick, Esq 212 541 6224 jshenwick@gmail.com

Student Loan Programs Ending: Are Borrowers Able to Pay? After May 1, 2022, the pause on federal student loan payments and interest will come to an end. This student loan program went into effect to assist individuals financially affected by the Covid-19 pandemic, and it has been extended multiple times to account for the pandemic’s dynamic nature. As the pandemic has significantly improved in recent months, the federal government has concluded loan payments will resume, but the question now is how prepared will students be when this program expires? The overall financial impact of the pandemic continues to this day, even as society has been able to slowly get back to work like they did before the pandemic started. While the federal student loan program was helpful in many respects, many don’t feel prepared to return to their payments, and it could lead to some widespread financial troubles come May 1. 37% of Student Loan Borrowers Feel Less Able to Pay The Covid-19 pandemic has had far-reaching economic effects on many U.S households, many of which have had a hard time adjusting even with the help of federal financial stimulus packages and student loans pauses. On average, 37% of student loan borrowers feel less able to pay their loans compared to before the pandemic. And although the exact financial situation of borrowers may vary, this statistic still provides a clear illustration of how people will be affected by the end of the student loan program. Google Survey Results To get a better understanding of how prepared borrowers are for the conclusion of the student loan pause, a recent Google survey asked people about how well positioned they were to resume loan payments compared to before the pandemic. Out of 963 respondents, roughly 37% of those with student loans responded they felt worse about resuming payments. This provides an indication of how the pandemic has affected student loan borrowers, and how those same borrowers might struggle with payments in the future. How the Pandemic Affected Student Loans The Covid-19 pandemic has had sweeping effects on student loans, both positive and negative. As was previously mentioned, when the pandemic first began to accelerate in the U.S the federal government suspended loan payments, stopped collections on defaulted loans, and implemented a 0% interest rate to prevent loan payments from worsening as the pandemic progressed.  This decision was further supported by the CARES Act once it became law on March 27, 2020, and although it was initially set to expire at the end of September that same year, it was extended multiple times to accommodate the evolving and ongoing nature of the pandemic to provide additional relief to those who needed it. For those who have been willing and able to make payments during this time, they’ve benefited from the 0% interest rate the federal government put in place. Although their payments may not have been lower, they will still save more money overall because they were unaffected by their previous interest rate. On the negative side of the situation, because the pandemic left many people unemployed for an extended period of time, and many of those same people still had to pay other bills, there has been little room left to save money towards loan payments. Many borrowers who have been getting back to work are still in the process of paying back more immediate bills, and once the student loan program ends, it will likely become a tremendous financial burden that exacerbates an already difficult situation. Student Loan Cancellation Discussions One topic of frequent discussion between borrowers and federal officials is student loan cancellation, where borrowers are no longer required to repay some or all of their loan due to various circumstances. The conversation on student loan cancellation was steadily gaining traction before the Covid-19 pandemic, but the resulting financial crisis has made it a frequent talking point over the last two years. While the idea of canceling all student loan debt has been passed around, the federal government has been hesitant to make that commitment, and has instead opted for incremental cancellations for eligible borrowers. It is rare a person’s entire debt may be canceled, and in some cases the eligibility requirements may exclude a wide range of borrowers who would greatly benefit from a partial or complete cancellation. As dire as the national and global financial situation is for many borrowers because of Covid-19, there is an overall reluctance to implement sweeping cancellations because of how reliant lenders are on loan repayments. There is a perceived greed on the part of borrowers towards these lenders as a result, but the overall complexity of the situation makes it much more nuanced than it may appear. Preparing for the End of Student Loan Forbearance As May 1 comes closer with the passing of each day, student loan borrowers will have to prepare for their payments to resume and their interest to continue building. For those who have been able to take advantage of student loan forbearance, there are ways to adjust your student loan debt to your benefit so you’ll be better prepared for regular payments and interest to resume. And for those who have not been able to make substantial payments during this suspension period, now is the time to make whatever payments possible before things go back to normal. Refinance Refinancing a student loan can have many benefits, the most significant being the ability to lower your interest rate or take on a more favorable payment plan. These benefits can be helpful no matter the circumstances, but they can be particularly advantageous during the current student loan pause. If you qualify for refinancing, and the process can be completed before the May 1, 2022 deadline, you could restart your loan repayment with a lower interest rate than the one you started with. You could also use refinancing to adjust your payment plan towards your current financial situation if the pandemic has made it more difficult to pay any bills. If you opt for refinancing, it’s important to do it as close to the May 1 deadline as possible, as you may miss out on any loan forgiveness that happens between now and then. You may also have to continue making scheduled payments with accruing interest, as the loan will now be managed by a private lender and not the federal government. Pay Extra Each Month If you have been able to make forbearance payments during the student loan pause, it would be wise to take advantage of your stagnant interest rate and pay more than you usually would each month. Not only will this move your repayment timetable forward, but it also makes any interest accrued less severe than it would have been otherwise. Even if it’s only a small percentage more than you would pay each month, it serves to lessen the burden of your loan once repayments resume after May 1. What People With Student Loans Can Do If you have student loans and you’re worried about the continuation of your payments and building interest, there are ways to prepare for May 1.  If you believe you may qualify for student loan forgiveness, complete the U.S. Department of Education’s application, and you will be notified if you meet their eligibility requirements. You may also seek out refinancing if you wish to make changes to your repayment plan, but it’s important to consider you will lose many of the protections that come with a federal loan.  The best thing to do no matter your financial situation is to assess how much money you need to contribute towards your loans once the pause concludes. This helps prevent loan repayments from completely derailing your current finances, and ensure you know what to expect when they resume. It’s no secret many people don’t feel completely comfortable with repaying their loans in the coming months, but it’s best to prepare in any way possible to lessen the impact when the time comes. The post 37% of Student Loan Holders Feel Less Able to Pay Due to Pandemic appeared first on David M. Offen, Attorney at Law.

Every day bankruptcy clerks sent out millions of required notifications to creditors and parties in interest. Creditors can bypass the paper notification by designating an email address for service pursuant to Fed.R.Bankr.P. 9036. Now the Bankruptcy Court for the Southern District of Texas is seeking to compel high volume creditors to sign up for electronic noticing.  On March 17, 2022, Judge Marvin Isgur instituted 328 orders requiring creditors to appear for a status conference through counsel to explain why they have not signed up for electronic noticing.  While creditors are receiving the notices, the problem appears to be caused, at least in part, by debtors using different variants of a creditor’s address. In one case I reviewed, the same creditor was the subject of three orders. One involved notice sent to a post office box, one was addressed to a physical address minus the creditor’s suite and a third was sent to the physical address with an incorrect suite number. The orders are being sent to “high-volume paper notice recipients” defined as parties receiving one hundred or more notices a month. The parties being haled into court seem to consist of debt collectors and creditors. When a debtor files a bankruptcy petition, it is good practice to include any debt collectors working on behalf of a creditor so that they receive notice and know to stop collection activities. Thus, debt collectors may find themselves on the receiving end of hundreds or thousands of notices without ever having appeared in a bankruptcy case. The court has offered a simple remedy to avoid having to appear in court. Creditors may go to:  https://bankruptcynotices.uscourts.gov.registerand designate an email address for notices and then file a notice in the miscellaneous proceeding demonstrating that they have registered. Parties who fail to respond to the court’s invitation may be subject to “any appropriate sanctions” As well as “the cessation of paper noticing from the U.S. Bankruptcy Courts and the creation of an electronic account for you by the Bankruptcy Noticing Center.” It is always a good idea to listen when a federal Bankruptcy Judge gives an order. However, there are other good reasons for complying with this requirement. It will reduce the cost to bankruptcy clerks across the country for sending out paper notices. It will also take some burden off the U.S. Postal Service. Finally, it will be good for the environment. Parties receiving these notices should act accordingly.