QUESTION
I owe unemployment worth $13,000 due to fraud, can I file chapter 7?
Asked on Feb 19th, 2016 on Bankruptcy - Michigan
More details to this question:
I owe unemployment around $13,000 they took my taxes this year and I am on a monthly plan for $120, can I file chapter 7 on this please. Thank you.
11 ANSWERS
Commercial & Bankruptcy Law Attorney serving Powell, OH
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Ronald K. Nims
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Fraud is not dischargeable in bankruptcy.
Answered on Mar 17th, 2016 at 4:52 AM
Bankruptcy Attorney serving Hampton, VA
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Haven Law Group, P.C.
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That debt is likely non-dichargeable, assuming the "fraud" is the basis for the debt being non-dischargeable.
Answered on Mar 15th, 2016 at 6:41 PM
Amounts due to fraud may not be discharged in bankruptcy.
Answered on Mar 15th, 2016 at 6:40 PM
If the debt owed to unemployment really is due to fraud, Chapter 7 will not help you. But do not jump to conclusions that your debt is considered to be fraud under the bankruptcy law. Consult a local bankruptcy expert for advice.
Answered on Mar 15th, 2016 at 6:40 PM
Appellate Attorney serving Grosse Pointe Farms, MI
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Musilli Brennan Associates, PLLC
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An attorney would have to review the details of your situation to determine if there is any relief available in bankruptcy, but it is very, very doubtful. Obligations occasioned by your practicing fraud are NOT dischargable.
Answered on Mar 15th, 2016 at 6:40 PM
Derek W. Freeman
Yes, you can file for bankruptcy under chapter 7. But the state will almost certainly object to discharge of that debt you owe for unemployment, and I can almost guarantee that it won't be discharged. If this is the only debt you're concerned about, chapter 7 isn't for you. You can take care of this debt in a chapter 13, and it might even be more favorable than the deal you already have with them. You should talk with a lawyer to learn for sure.
Answered on Mar 15th, 2016 at 6:39 PM
Bankruptcy Attorney serving Madison, WI
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Richard B. Jacobson & Associates, LLC
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Generally speaking, if the debt was the result of your fraud, the debt is not dischargeable in bankruptcy. If you are the victim of someone else's fraud, and truly had no role in it, then you could likely discharge it. Consult a skilled bankruptcy lawyer in your locality. Good Luck.
Answered on Mar 15th, 2016 at 6:38 PM
Its a bit complicated. Meet with an experienced BK lawyer face to face. Offer to pay for the consultation. Bring all paperwork with you.
Answered on Mar 15th, 2016 at 6:38 PM
Debt Settlement Attorney serving Chicago, IL
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Law Offices of Daniel J. Winter
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The short answer is, it depends on the whole situation. The government can challenge your bankruptcy and make you pay it back. Call an attorney for an appointment.
Answered on Mar 15th, 2016 at 6:37 PM
2 Awards
If the debt was incurred through fraud that was proven then no you cannot discharge the obligation in a chapter 7. You can pay it over a five-year term in a chapter 13 if the payment arrangement is a hardship to you.
Answered on Mar 15th, 2016 at 6:36 PM
Bankruptcy Attorney serving Livonia, MI
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Charles J. Schneider, P.C.
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You can file a chapter 7 but if they file an adversary complaint alleging and proving fraud in the receipt of the unemployment benefits it may not be discharged.
Answered on Mar 15th, 2016 at 10:45 AM