Massachusetts Bankruptcy Legal Questions

With clients who have fallen behind, I have two solutions that have worked. The first is to modify the loan. The second is to dismiss and refile on the basis the debtor needs to restart the five year clock to cure the arrears. The question you willl need to answer is why you will not fall behind again.... Read Answer

The first question is do you need to file bankruptcy?  Social security is protected from garnishment by most creditors including credit cards and medical bills.  If you are unable to pay credit cards and/or medical bills, they can call you and send dunning letters but will not be able to take your Social Security.  If you own a home or have other substantial assets you will need to speak to a local lawyer.  Many people prefer to file bankruptcy to avoid having creditors calling them, potentially for years.  The actual filing requires completion of about 40 pages of paperwork, two classes and attendance at a hearing.  This is not a DIY project.... Read Answer

Your ex-girlfriend is just trying to scare you, you have every right to file chapter 7 bankruptcy and walk away from the house. If you would like you can always sign over in a deed your portion of the home to her and if she keeps paying the mortgage than the house will be hers. But there's nothing she can do to prevent you from filing bankruptcy and discharge in the debt owed to the bank on the home you purchase together. I have responded to your inquiry according to the laws of Massachusetts, where my firm is located. Laws can vary significantly from state to state and cases tend to be rather fact-specific, so you are best served by consulting with a knowledgeable attorney in weighing your options. Email messages/Online Correspondence are akin to conversations and do not reflect the level of analysis applied to formal legal opinions. Email/Online responses do not form an attorney-client relationship.    Joseph F. Botelho, Esq. BOTELHO LAW GROUP Attorneys At Law http://massachusettslawyeronline.com/ 901 Eastern Ave.  Unit 2 Fall River, MA 02723  Office:  888-269-0688 FAX:    877-475-8147 #bankruptcy  #lawyer  #FallRiver  #Chapter7  #chapter13  #debt  #debtsettlement  #foreclosure  #attorney   #cantpaybills  #lawsuit  #court  #bankruptcycourt  #eviction  #lostmyjob, #student, #loans, #education, #IRS, #taxes... Read Answer

It depends on which bankruptcy chapter you're talking about. The bankruptcy court has the power to approve or deny attorney's fees in any bankruptcy case.  But in a Chapter 7 case, there is no requirement to seek court approval for payment of the fees--but the fees MUST be disclosed to the court and the court can require disgorgement if found to be too high. In Chapter 13 or Chapter 11 cases, all attorneys fees must be approved by the court.  ... Read Answer

In Massachusetts, as well as many other state, the debt of the deceased person is owed by their estate, not by their heirs. What this means is, the money, assets and property, that your deceased husband owned prior to his death would need to go into his estate and be probated. When the estate is probated, the Executory must use money or selloff property to pay the debts of the deceased person, prior to making any disbursements to their heirs. This basically means that if a deceased person owes money, that money must be paid back before his property can be given to his heirs. So technically you do not owe the debt, but his estate and his money does still owe the debt even though he has passed away. Death is not a forgiveness of debt in a person's estate must pay those debts, and less the estate does not have the money to do so. In that case what the estate does have must be sold off in pay as many creditors as possible out of that money, this also means that the heirs will have no money as the debt of the deceased person is greater than the assets of their estate at the time of their death. I have responded to your inquiry according to the laws of Massachusetts, where my firm is located. Laws can vary significantly from state to state and cases tend to be rather fact-specific, so you are best served by consulting with a knowledgeable attorney in weighing your options. Email messages/Online Correspondence are akin to conversations and do not reflect the level of analysis applied to formal legal opinions. Email/Online responses do not form an attorney-client relationship.    Joseph F. Botelho, Esq. BOTELHO LAW GROUP Attorneys At Law http://fallriverbankruptcyattorney.com/ 901 Eastern Ave.  Unit 2 Fall River, MA 02723  Office:  888-269-0688 FAX:    877-475-8147 #bankruptcy  #lawyer  #FallRiver  #Chapter7  #chapter13  #debt  #debtsettlement  #foreclosure  #attorney   #cantpaybills  #lawsuit  #court  #bankruptcycourt  #eviction  #lostmyjob... Read Answer

The answer to your question is both yes and no. Yes she may file for bankruptcy and include the $6000 you owe her and if you do not dispute this claim it will be discharged in her bankruptcy. But an experienced bankruptcy lawyer can represent you at the 341 meeting of creditors, which will give you a chance to argue that the debt should not be included within her bankruptcy. Being her friend also puts you in a very unique situation that would allow you to inform the bankruptcy trustee of any assets she may have been hiding from the bankruptcy trustee. You should contact an experience bankruptcy lawyer in the state you live in and have them file a small claims action for you and then argue your case in front of the bankruptcy trustee at the 341 meeting of creditors. At my firm, what we would do in a situation like this is meet with you and go over everything you know about her and I would attempt to discover what assets she would most likely attempt to hide from the bankruptcy trustee. Then I would go on my pacer account in pullout her bankruptcy petition and see if the asset you feel she would attempt to high art even listed on her petition and if they were not we could bring this information to the attention of the bankruptcy trustee. Also if there was circumstances around the claim for the $6000 she owes you that would make it fraudulent for her to include in the discharge, our present that information to the bankruptcy trustee also. I have responded to your inquiry according to the laws of Massachusetts, where my firm is located. Laws can vary significantly from state to state and cases tend to be rather fact-specific, so you are best served by consulting with a knowledgeable attorney in weighing your options. Email messages/Online Correspondence are akin to conversations and do not reflect the level of analysis applied to formal legal opinions. Email/Online responses do not form an attorney-client relationship.    Joseph F. Botelho, Esq. BOTELHO LAW GROUP Attorneys At Law http://fallriverbankruptcyattorney.com/ 901 Eastern Ave.  Unit 2 Fall River, MA 02723  Office:  888-269-0688 FAX:    877-475-8147 #bankruptcy  #lawyer  #FallRiver  #Chapter7  #chapter13  #debt  #debtsettlement  #foreclosure  #attorney   #cantpaybills  #lawsuit  #court  #bankruptcycourt  #eviction  #lostmyjob... Read Answer

When was the lien recorded?  Clearly if the lien was recorded after your bankruptrcy was filed, it is void.   If the lien was recorded prior to your bankruptcy being filed, then it remains against whatever assets it attached to on the date your bankruptcy case was filed.   If this is a judgment lien, it can be removed under certain circumstances pursuant to 11 U.S.C. 522(f).   The fact that you're asking this question leads me to believe you did not have a qualified bankruptcy attorney representing you in the case.   Now would be a good time to hire one to protect your rights. See my article on what happens with liens in bankruptcy for more information.      ... Read Answer

If your husband's name is not on the deed and you purchase the home prior to the marriage, your new husband bankruptcy will not affect your home. The one issue that I can foresee is the fact that you are now married and purchasing a home in the state of Massachusetts. In Massachusetts when you buy a home when you're married that home even if you don't put your spouse's name on the deed is still half their. Make sure you file a declaration of Homestead on the property prior to filing for bankruptcy. It would be even better if your husband file for bankruptcy and then you bought a house, then your home would be excluded from the bankruptcy completely. Remember in Massachusetts, regardless who buys the home, if you're married both people own Matt home and it does not matter if you put your spouse's name on the deed. If you get divorced you will certainly find out that that home is half of your spouse's and the bankruptcy court sees in the same way. So protect yourself with the declaration of Homestead and if you can have your husband file for bankruptcy prior to purchasing a home in Massachusetts. I have responded to your inquiry according to the laws of Massachusetts, where my firm is located. Laws can vary significantly from state to state and cases tend to be rather fact-specific, so you are best served by consulting with a knowledgeable attorney in weighing your options. Email messages/Online Correspondence are akin to conversations and do not reflect the level of analysis applied to formal legal opinions. Email/Online responses do not form an attorney-client relationship.    Joseph F. Botelho, Esq. BOTELHO LAW GROUP Attorneys At Law http://fallriverbankruptcyattorney.com/ 901 Eastern Ave.  Unit 2 Fall River, MA 02723  Office:  888-269-0688 FAX:    877-475-8147... Read Answer

No, you do not need to be delinquent on your bills to file a chapter 7 bankruptcy in Massachusetts. There are requirements such as how much income you have, your expenses and your assets, these all need to be evaluated prior to filing a chapter 7 bankruptcy in Massachusetts. It is very important for you to obtain the services of a knowledgeable bankruptcy attorney when filing bankruptcy, as the laws on numerous and it is easy to make a mistake in the documentation. And if you attempt to do this yourself, and there's a problem, the courts do not take into consideration that you're not an attorney. I have responded to your inquiry according to the laws of Massachusetts, where my firm is located. Laws can vary significantly from state to state and cases tend to be rather fact-specific, so you are best served by consulting with a knowledgeable attorney in weighing your options. Email messages/Online Correspondence are akin to conversations and do not reflect the level of analysis applied to formal legal opinions. Email/Online responses do not form an attorney-client relationship.    Joseph F. Botelho, Esq. BOTELHO LAW GROUP Attorneys At Law http://fallriverbankruptcyattorney.com/ 901 Eastern Ave.  Unit 2 Fall River, MA 02723  Office:  888-269-0688 FAX:    877-475-8147 #bankruptcy  #lawyer  #FallRiver  #Chapter7  #chapter13  #debt  #debtsettlement  #foreclosure  #attorney   #cantpaybills  #lawsuit  #court  #bankruptcycourt  #eviction  #lostmyjob... Read Answer

This is not an uncommon situation in a foreclosure or bankruptcy in Massachusetts for the bank after you receive your bankruptcy discharge and state you surrender the house they do not in a timely manner foreclose on the property. When you file for chapter 7 bankruptcy and received a discharge of the obligation to pay the mortgage, you are only released from your obligation to pay the bank on the mortgage. This did not affect the fact you still own the house until they foreclose, therefore you're still liable for all taxes due on that house, and all utilities and other debts that arrived on a monthly basis pertaining to the house. Bankruptcy only discharge your obligation to pay the mortgage to the bank, it did not affect your title to the property or your obligation to pay other debts associated to the property, it only affected your need to pay the bank for the mortgage. In Massachusetts I have seen homes that have been in the foreclosure process for over six years and there has already been a chapter 7 bankruptcy discharge on the debt and the banks attorneys still have not foreclose on the property. So basically the taxes and the water bill are still your obligation, as they were never actually the obligation of the bank, even though these were being paid through the mortgage with your escrow account. You may simply move away from the house and that way you will not be obligated to pay for the water or seat or electricity, but you still will be liable for taxes until the bank repossess the house through a foreclosure proceeding. I have responded to your inquiry according to the laws of Massachusetts, where my firm is located. Laws can vary significantly from state to state and cases tend to be rather fact-specific, so you are best served by consulting with a knowledgeable attorney in weighing your options. Email messages/Online Correspondence are akin to conversations and do not reflect the level of analysis applied to formal legal opinions. Email/Online responses do not form an attorney-client relationship.    Joseph F. Botelho, Esq. BOTELHO LAW GROUP Attorneys At Law http://fallriverbankruptcyattorney.com/ 901 Eastern Ave.  Unit 2 Fall River, MA 02723  Office:  888-269-0688 FAX:    877-475-8147... Read Answer

Because you were probably listed, as required, as a creditor or party in interest.  The lease is an asset of the bankruptcy estate and also an obligation of the debtor.    If it is a month-to-month lease, this is really insigniifcant.  But if, for example, the debtor had several months left on his lease when the bankruptcy case was filed, he would be discharged from the obligation to pay on the remaining lease term (but of course you would have a right to seek to evict him/her if he/she failed to pay their rent).  ... Read Answer

The median income is based on your location and the household size at the time the bankruptcy case is filed.  How you determine the household size is the subject of careful consideration and understanding of what the courts and U.S. Trustee's Office in your district allow. In some cases it's literally the number of people living in the house.  In others, some courts have restricted it to dependents living in the home.  Regardless, you must always include any contributions other parties make to the household expenses as part of your income. This is one of the many reasons it's important to have an experienced bankruptcy attorney represent you. Mark Markus has been practicing exclusively bankruptcy law in California since 1991.  He is a Certified Specialist in Bankruptcy Law by the State Bar of California Board of Legal Specialization,  AV-Rated by martindale.com, and A+ rated by the Better Business Bureau.  ... Read Answer

My name is Scott Needleman, owner of The Needleman Law Office. The decision to file or not file is dependent on your specific total financial picture. Also what are the chances for quick reemployment? The reason I have free consultations is to help you navigate and create a roadmap to get you out of your financial distress.... Read Answer

The fact that you mention getting "relief" partially answers your own question.  From a legal standpoint, you do not need to file bankruptcy if you are judgment proof  because your creditors won't be able to get anything from you anyway. However, they can still attempt to collect, which means you will need to possibly show up for judgment debtor examinations to inform the court that your only income is from social security, and that you have no assets, etc.   A lot of this depends on how many different creditors you have.  If there's only a few, you can probably just deal with them by letting them know the above facts.  But if you have 20 or 30+ then filing bankruptcy is a way to let everyone know in one shot and legally stop them from contacting you and trying to collect. What it boils down to is how much hassle you can handle.  If your thresshold is low, then it might be worth doing a bankruptcy.  Otherwise, it's certainly not necessary. Mark Markus has been practicing exclusively bankruptcy law in California since 1991.  He is a Certified Specialist in Bankruptcy Law by the State Bar of California Board of Legal Specialization,  AV-Rated by martindale.com, and A+ rated by the Better Business Bureau.  ... Read Answer

Liens don't get discharged.  They may or may not be able to be removed after a discharge depending on the circumstances. Tax debts are dischargeable in bankruptcy if they meet certain requirements.  Primarily these are: (1) it has been more than 3 years since the returns were last DUE (including extensions) to be filed, (2) the returns were timely filed or it has been at least 2 years since the returns were filed, (3) there was no fraud involved or attempts to evade the tax, AND, (4) the taxes were not assessed within the last 240 days. The above all have numerous exceptions and things which extend or toll the time periods, so you definitely need to consult with an experienced bankruptcy attorney in your area to determine whether the taxes in your situation are dischargeable. Assuming they are, the lien will remain against whatever assets it has attached to prior to the bankruptcy being filed.  Whether it can be removed is primarily a function of the value of the assets. Mark Markus has been practicing exclusively bankruptcy law in California since 1991.  He is a Certified Specialist in Bankruptcy Law by the State Bar of California Board of Legal Specialization,  AV-Rated by martindale.com, and A+ rated by the Better Business Bureau.   ... Read Answer