Georgia Bankruptcy

Georgia Foreclosures Up 99%
This morning's Atlanta Journal/Constitution published an article entitled "Georgia Foreclosures Jump 99%; rate is nation's 3rd highest." According to this article, one out of every 449 houses will go into foreclosure. Why the increase? Interest rates on adjustable rate mortgages are going up. In addition, underwriting standards by major lenders were relaxed over the past few years. (…)

Why Does It Cost More to File a Bankrutpcy Under the New Law?
Much has been written about the changes to Chapter 7 and Chapter 13 practice and procedure in the months since the new bankruptcy law went into effect. From my perspective as a debtor's lawyer, one of the biggest practical changes that I have faced arises from a significant increase in the amount of work that is involved in preparing a case on behalf of a client. (…)

Chapter 13 Case Dismissed Because of Funding Problem
Yesterday, one of my Chapter 13 cases was dismissed at the confirmation hearing for one reason and one reason only. I had cured all of the trustee's objections and the case was viable. (…)

Adequate Protection Payments Need Only Be Designated for Vehicle Creditors?
Adequate protection payments to secured creditors in a Chapter 13 plan are only required if the collateral involved is a motor vehicle. (…)

A Review of Mortgage Foreclosure Laws in Georgia - How a Bankruptcy Filing Stops Foreclosure
The threat of a mortgage foreclosure serves as a prime motivating factor for many Chapter 13 bankruptcy filings. As an attorney who practices in this area, I sometimes forget that frightened, stressed out homeowners who are actually facing foreclosure may not realize exactly how or why a Chapter 13 can save their home. Therefore, in this post, I would like to review a little about foreclosure law in Georgia and discuss the strategy of using Chapter 13 to stop the foreclosure and reinstate the mortgage. (…)

Time Spent Preparing Your Bankruptcy Budget is Time Well Spent
Requests for documents and records by Chapter 7 trustees at 341 hearings are now a fact of life in the consumer bankruptcy world. No longer will standing Chapter 7 trustees rely on a debtor's best estimates - everything in your petition is fair game for review. (…)

Repossession Threat Can Lead to Emergency Need for Bankruptcy Protection
Lost in the on-going debate about how tough bankruptcy ought to be are the voices of those who file for bankruptcy in emergency situations - to stop a vehicle repossession or a wage garnishment. I think that repossession and garnishment are even more of an emergency than a home foreclosure. In Georgia, at least, a homeowner has at least 30 days warning, certified letters announcing the foreclosure and dozens of flyers from real estate investors and bankruptcy lawyers. (…)

Are Debtors Stuck With their Form B22 Means Test Budget?
Here is an issue about Chapter 13 calculations. I don't have the answer so I would appreciate any opinions, especially from any Chapter 13 trustee attorney who reads this blog. (…)

Can I "Cancel" a Chapter 13 Bankruptcy if I Changed My Mind?
Here is an interesting question I received this morning from one of my former clients. She raises several important points so I thought I would answer it on the blog rather than simply by email. (…)

An Exemption Trap?
One of the less well known components of the BAPCA bankruptcy law changes has to do with exemptions. Exemptions, as you may know, refer to those assets that are sheltered from seizure by the trustee. You can read more about the Georgia exemptions on my Georgia bankruptcy law web site. (…)

Most Common Objections in Chapter 13 Cases - objection 4 - no proof of tax escrow
This is the fourth installment of a series discussing the most common objections filed by Chapter 13 trustees in Chapter 13 cases. Thanks to Susan Gantt, a contract lawyer who handles Chapter 13 341 hearings for various Atlanta area lawyers on a contract basis. (…)

Most Common Objections in Chapter 13 Cases - objection 3 - no affidavit confirming family financial support
My colleague, Susan Gantt, works as a contract attorney who handles Meeting of Creditor hearings for several Atlanta area bankruptcy lawyers. Because she attends 341 hearings all day long and associates with several law firms, she can offer all of us a valuable perspective about the practical issues that arise in Chapter 13 cases. (…)

Most Common Objections in Chapter 13 Cases - objection 2 - no proof of post-petition mortgage payment
As all Chapter 13 debtor attorneys know, trustee objections in Chapter 13 cases are much more common and much more extensive. Recently, I sat down with Susan Gantt, a contract attorney who appears at Section 341 creditor meetings on behalf of several law firms in the Atlanta area. (…)

Most Common Trustee Objections in Chapter 13 Cases - objection 1 - no payroll deduction
What are the most common trustee objections in Chapter 13 cases? Who better to tell us than Susan Gantt. Susan serves the consumer bankruptcy bar in Atlanta by attending 341 hearings on a contract basis for a number of debtors' lawyers. She attends 10 to 20 341 hearings a day, every day and has done so for several years. (…)

Student Loan in Your Chapter 13 - Congratulations, You are Officially in Limbo!
We have run across a confusing predicament for Chapter 13 cases filed in the Northern District of Georgia that involve student loans. According to one of the assistant trustees whose identity we will protect, the judges in the Northern District have not yet decided how debtors should treat student loans in Chapter 13 case. (…)

Are Life Insurance Proceeds Exempt in a Chapter 7 Filed in Georgia?
A recently widowed, elderly woman qualifies for Chapter 7 under the median income/means test but is concerned that the Chapter 7 trustee will assert a claim on the $35,000 insurance proceeds she is expecting following the death of her husband. The woman needs to file a Chapter 7 to get rid of credit card and medical debt. Are the insurance proceeds exempt? (…)

Your First Meeting With a Bankruptcy Lawyer - What Do You Bring?
One of the consequences of the new bankruptcy law has to do with the increased obligation on the part of both the lawyer and our clients to provide extensive documentation to the trustee and the courts. Since much of this documentary information is mandatory, your filing will be delayed if we do not produce it at the time of filing. (…)

Seven Minutes to Summarize Bankruptcy Law!
Several months ago, I was invited by my colleague Marvin Solomiany to speak at a Family Law seminar presented by the Atlanta Bar Association. Marvin explained that my role would be to discuss bankruptcy at the "hot tips" part of the seminar. It turns out that the "hot tips" presentation is where five lawyers take seven minutes each to brief the family lawyers (i.e. (…)

Property Surrendered in Chapter 7 - Will I Owe if There is a Deficiency?
What happens when you surrender real estate in a bankruptcy? What does it mean for the trustee to "abandon interest" in the property. And most importantly, are you - the debtor - responsible for any deficiency balance that may arise after the case is over and the property sold? (…)

Cost of Chapter 13 May Outweigh Its Benefits
Yesterday, I met with a potential client who was facing immediate foreclosure (today) and I encouraged him not to file Chapter 13 to stop the foreclosure. (…)