Would funeral expenses be part of bankruptcy?

I would have to know more about the terms of the contract your mother has with the funeral company to be able to accurate address your concerns. Is she paying for a plot or for services that are to be provided in the future, or is she paying for services that have already been provided?

The debt will be dischargeable unless the funeral home can demonstrate that she incurred the debt fraudulently. In other words, she incurred the debt knowing that she had no intent on paying it. It is a difficult burden for the funeral home to hurdle, and it is doubtful that it will try. For the record, creditors use the "we will pursue this" card to try to scare people into paying. Don't do it.

Your Mother should follow the advice given to her by her lawyer. Or, she should find another lawyer is she is not confident in that advice. Why would you second guess? When one files for bankruptcy ALL debts must be disclosed and listed in the case. ALL dischargeable debts (almost everything) are discharged in such a bankruptcy filing. A bankruptcy case stops all actions being taken by a creditor to collect a debt. The whole purpose of retaining an attorney is to get reliable legal advice based upon the individual's situation and needs. Your Mother's attorney is the person she should listen to, not random lawyers responding to a general online inquiry.

It is unclear whether these funeral expenses are for a funeral past, or to prepay. If they are for a funeral past, they should be dischargeable in a bankruptcy. If they are for a future funeral to prepay expenses, she can reject that contract in her bankruptcy, but she will lose anything she's already paid for.

Once she files bankruptcy, the automatic stay would prevent her from being sued. The debt sounds like it might be a dischargeable, unsecured claim, but it is difficult to ascertain without seeing the underlying documents and knowing the facts surrounding this matter.