Navigating Bankruptcy Court: A Guide to Understanding the Process

Facing financial distress can be overwhelming, but bankruptcy court offers a structured path to help individuals and businesses navigate these challenging times. Understanding what to expect during the bankruptcy process can alleviate some of the uncertainty and stress associated with it. In this article, we’ll provide a comprehensive guide to what happens during bankruptcy court proceedings, empowering you with the knowledge to approach the process with confidence.

Understanding Bankruptcy Basics:

Before delving into the court proceedings, it’s crucial to grasp the basics of bankruptcy. Bankruptcy is a legal process designed to provide individuals and businesses with relief from overwhelming debt. There are different types of bankruptcy, including Chapter 7, Chapter 11, and Chapter 13, each with its specific eligibility criteria and procedures.

Filing for Bankruptcy – The bankruptcy process typically begins with filing a petition in the appropriate bankruptcy court. This involves disclosing detailed financial information, such as income, assets, debts, and expenses. Depending on the type of bankruptcy, individuals may need to undergo credit counseling before filing.

Automatic Stay – Once the bankruptcy petition is filed, an automatic stay goes into effect. This legal injunction halts creditors’ collection efforts, including foreclosure proceedings, wage garnishments, and harassing phone calls. The automatic stay provides breathing room for debtors to reorganize their finances without the constant pressure of creditors.

Meeting of Creditors (341 Meeting) – After filing for bankruptcy, debtors are required to attend a meeting of creditors, also known as a 341 meeting. During this meeting, the debtor, their attorney, and a bankruptcy trustee appointed by the court discuss the debtor’s financial situation. Creditors may attend and ask questions about the debtor’s assets and liabilities, providing an opportunity for transparency and resolution.

Negotiating a Repayment Plan – In Chapter 13 bankruptcy, debtors work with creditors and the bankruptcy trustee to develop a repayment plan. This plan outlines how the debtor will repay their debts over a specified period, typically three to five years. The court must approve the repayment plan, ensuring it is feasible and fair to both the debtor and creditors.

Liquidation and Asset Distribution – In Chapter 7 bankruptcy, a trustee may liquidate non-exempt assets to repay creditors. However, many assets are protected under state and federal bankruptcy exemptions, allowing debtors to retain essential property. The trustee distributes the proceeds from liquidated assets among creditors according to priority rules established by bankruptcy law.

Confirmation Hearing:

In Chapter 13 bankruptcy, debtors must attend a confirmation hearing where the court reviews and approves their repayment plan. Creditors have the opportunity to object to the plan if they believe it unfairly favors the debtor. If the court confirms the plan, debtors must adhere to its terms to successfully complete the bankruptcy process.

Discharge of Debts:

The ultimate goal of bankruptcy is to obtain a discharge of debts, relieving the debtor of the legal obligation to repay them. In Chapter 7 bankruptcy, eligible debts are discharged shortly after the liquidation process. In Chapter 13 bankruptcy, debts are discharged upon successful completion of the repayment plan. However, certain debts, such as student loans and tax obligations, may not be dischargeable.

Navigating bankruptcy court can be daunting, but with a clear understanding of the process, individuals and businesses can approach it with confidence. From filing the initial petition to obtaining a discharge of debts, each step of the bankruptcy process serves a specific purpose in providing relief and a fresh financial start. By working with experienced legal counsel and adhering to the requirements set forth by the court, debtors can emerge from bankruptcy with their finances on a more stable footing.

Lewis and Jurnovoy is a local law office serving the Florida Panhandle. We specialize in bankruptcy law, including Chapter 7 and Chapter 13 bankruptcy. We will work to achieve the best financial remedy for your outstanding debts.

Lewis & Jurnovoy PCB
2714 West 15th St
Panama City, FL 32401
(850) 913-9110
https://www.LewisandJurnovoy.com

Why Car Insurance is a Necessity During Chapter 13 Bankruptcy

If you are thinking about filing for Chapter 13 bankruptcy, then one of the first things on your mind may be how this will affect your car insurance. You don’t want to risk losing out on coverage and ending up in a more serious accident because you’re uninsured! Luckily, there is no need to worry – all drivers who enter Chapter 13 bankruptcy can maintain their current auto insurance policy even after they file. Read on for more information about what this entails and why it’s so important that you do not get rid of your car insurance during Chapter 13 bankruptcy.  

In Chapter 13 bankruptcy, you may still be required to make certain car “payments” in order to maintain your policy. These can include an insurance premium or a portion of the monthly payment that is set up by your lender for you on behalf of your car payments if they are included as part of the agreement. To avoid having these additional expenses added onto what could already feel like too much debt from other sources, it’s important not to cancel your vehicle coverage during this time period – even though technically you are no longer making any payments and don’t owe anything outside of court fees and provisions. 

Some drivers mistakenly assume that because their loan has been paid off (in most cases) through Chapter 13 bankruptcy proceedings, then they will have to pay less on their car insurance. However, this is not the case! If you do cancel your auto coverage during Chapter 13 bankruptcy proceedings, then that means you will have no protection in the event of an accident and will be liable for all costs incurred from such a wreck. 

You don’t want to risk being uninsured when it comes time to file for Chapter 13 bankruptcy – make sure you maintain your current coverage at all times if you wish to avoid any unforeseen expenses or risks down the line! In addition, don’t forget to get in touch with an experienced bankruptcy attorney immediately if you are considering filing for bankruptcy. 

Lewis and Jurnovoy is a local law office serving the Florida Panhandle. We specialize in bankruptcy law, including Chapter 7 and Chapter 13 bankruptcy. We will work to achieve the best financial remedy for your outstanding debts. 

Lewis & Jurnovoy PCB 
2714 West 15th St 
Panama City, FL 32401 
(850) 913-9110 

https://www.LewisandJurnovoy.com

What Abilities Does a Successful Attorney Possess?

Practicing law is a versatile occupation. It requires logical thinking, but also a great deal of creativity. It involves much solitary study, yet also incredible people skills.  

If practicing law requires so much versatility, what kind of person is best suited to be an attorney? Well, at the very least, a successful attorney will possess the following 4 abilities: 

1) The Ability to Communicate with Accuracy 

Communication is the number one ability on this list because the job of an attorney is almost entirely based on communication. An attorney’s goal in representing their client is to create the best outcome possible outcome, but if the attorney is not able to accurately communicate their argument, then the judge/jury will not have satisfactory reasoning to agree.  Therefore, if an attorney is to be successful in their duties, they must possess excellent oral, as well as written communication skills.  

2) The Ability to Make Accurate Judgment Calls 

Oftentimes, an attorney is not given nearly as much information as they would like when pondering the best possible decisions. A lack of information can be a significant factor in the difficulty of an attorney’s job, making it necessary for an attorney to practice intuition to make the best judgment calls based on the information they are given. An attorney must then inspect their argument for weak spots and come up with solutions. 

3) The Ability to Think Creatively 

Creative thinking is not something that people often associate with the job of an attorney. However, it is an essential ability in the process of coming up with a solution to a client’s case. The best answer, the best argument, and the best way to portray a case are not often obvious.  

4) The Ability to Skillfully Interact with People 

No doubt, attorneys must be intellectual thinkers. However, if that is all an attorney is, he/she will not experience the kind of success they are looking for. Practicing law is, in fact, a people-focused occupation. As an attorney, a person will need to connect with all different types of people with all sorts of personality types. A lawyer that can read people and immediately change their communication tactics accordingly is golden! 

When a person goes to school to become a lawyer, they are put through a test of perseverance. However, the necessity of maintaining a strong drive and determination does not end with law school. Therefore, above all else, a great attorney will have a passion for practicing law and providing their clients with the best possible outcomes. 

Lewis and Jurnovoy is a local law office serving the Florida Panhandle. We specialize in bankruptcy law, including Chapter 7 and Chapter 13 bankruptcy. We will work to achieve the best financial remedy for your outstanding debts. 

Lewis & Jurnovoy PCB 

1004 Jenks Avenue 

Panama City, FL 32401 

(850) 913-9110 

https://www.LewisandJurnovoy.com