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Any individual may file for bankruptcy. For that matter, partnerships, corporations, or business trusts may take advantage of bankruptcy protection too, excluding certain types of business organizations such as banks and insurers. When the filer of the bankruptcy petition is the debtor, then it’s a voluntary bankruptcy. According to bankruptcy laws, a voluntary petition for bankruptcy may be filed under bankruptcy chapter 7, 9, 11, 12, or 13 of the bankruptcy code.
Nonetheless, Oregon bankruptcy law also gives the right to creditors to file bankruptcy against a debtor who is unable to pay money owed. Such a petition is called involuntary.
Involuntary Bankruptcy
Involuntary bankruptcy filings are more frequently done on behalf of businesses. It’s also done against individuals, but the usual targets are debtors of means, those who have assets for liquidation that can be used to pay back debts. Creditors usually see no point in filing involuntary bankruptcy against a debtor whose assets aren’t sufficient to cover debt payments. Such a move could backfire, triggering an automatic stay, which is part of the bankruptcy protection that people in financial distress count on to stop their creditors’ debt collection efforts.
Involuntary Bankruptcy Chapters
Creditors have to fill out bankruptcy forms and file their petition with the bankruptcy court. This can be done under bankruptcy chapter 7 or 11 of the bankruptcy code, but not so under chapters 13 and 12. They have to justify their decision to file bankruptcy for someone else. The usual reason, of course, is that the debtor has the means and yet is unable to pay the money owed. Another possible reason is that control over the debtor’s assets has been ceded to an agent in the last 120 days, putting a lien in place.
Opposing the Petition
The debtor has the right to respond to the petition, and this may be in the form of an opposition, in which case a bankruptcy judge will have to rule for or against keeping the petition intact. If the bankruptcy case is dismissed, the creditor may be ordered to compensate the debtor for the trouble that the petition caused. Bankruptcy cases that are sustained move forward as in the usual bankruptcy proceedings. Unopposed filings simply continue through the regular bankruptcy process.
Involuntary Bankruptcy Limitations
Bankruptcy laws do present some restrictions in relation to filing involuntary bankruptcy. To begin with, single creditors usually don’t file involuntary bankruptcy on their own unless the money owed them reaches the threshold amount, or the debtor owes fewer than 12 unsecured creditors. In the event that there are 12 or more unsecured creditors, involuntary bankruptcy must be filed by at least three of them and the amount owed them must collectively reach the threshold amount. For clarification, unsecured debt refers to debt that has no asset attached to it. Secured creditors usually don’t bother filing for involuntary bankruptcy since they can simply resort to repossession or foreclosure in case their debtor fails to continue making car loan or mortgage payments.
As for other notes regarding involuntary bankruptcy, it cannot be filed against joint debtors. Neither can it be filed against certain organizations such as banks and credit unions, insurers, and nonprofits. Since family farmers and fishermen file under Chapter 12, involuntary bankruptcy may not be filed against them either. Talk to a bankruptcy lawyer to find out about other limitations.
Oregon Bankruptcy Lawyers
If you have serious financial problems, you may want to look into debt relief solutions. In case bankruptcy is inevitable, whether you do the filing or your creditors do, it’s important to seek legal advice right away. Contact us at Northwest Debt Relief Law Firm and talk to an experienced bankruptcy attorney who will review your case and go over your options with you.

The post Involuntary Bankruptcy in Oregon appeared first on Vancouver Bankruptcy Attorney | Northwest Debt Relief Law Firm.

By Stephanie Pagones | Published September 10, 2019 | Transportation | FOXBusiness
Manhattan federal prosecutors are probing possible lending fraud in the New York City taxi industry, according to a report.

The Southern District of New York has been investigating possible crimes, such as bank, mail and wire fraud, over the past month in the wake of a string of suicides involving cabbies who were bogged down by heavy debt related to the ever-increasing cost of taxi medallions, The New York Times reported, citing sources with knowledge of the inquiry.

A U.S. Attorney's Office representative declined to comment to the Times.

The cost of a taxi medallion rose from $200,000 in 2002 to $1 million in 2014, the report states, while industry heads or medallion brokers used questionable lending tactics or provided their clients “insufficient or unclear information,” according to and Executive Summary released this summer by the City of New York pursuant to a 45-day review into the industry’s methods.

As much as 95 percent of the city’s taxi drivers are immigrants, the summary states, many of whom speak English as a second language.

“For current drivers, the largest single issue they face is an unaffordable level of debt. The average median debt owed by surveyed drivers is approximately $500,000,” according to the city record. “[Fifty-one percent] of surveyed drivers stated they struggle to pay their monthly bills and 26% stated they are considering bankruptcy.”

In fact, over 900 livery cab drivers have declared bankruptcy, the Times reported.

The Times interviewed an immigrant from Bangladesh who bought his taxi medallion in 2014 and signed a loan that required him to pay $1.7 million, even though his annual income was only about $30,000. He told the Times that he did not understand the terms of his loan, according to the report.

New York Attorney General Letitia James announced in May she would be conducting her own review of the matter.

https://www.foxbusiness.com/features/federal-prosecutors-probing-nyc-tax...

If you’re considering filing for personal bankruptcy, the two most common types of bankruptcy for individuals are Chapter 7 and Chapter 13 of the bankruptcy code. Chapter 7 is a quicker bankruptcy process, while Chapter 13, which entails debt reorganization, is a more involved undertaking. Chapter 13 filers are made to pay a portion or all of their debt through a repayment plan that lasts three to five years.
Chapter 13 Filing Process
Debtors aren’t required to hire a bankruptcy attorney when they file for bankruptcy, but it’s prudent and recommended to do so. It’s almost imperative when filing under bankruptcy chapter 13, so let that be your first step, preceding the following event sequence.

1. Document gathering – At first consultation, your bankruptcy lawyer will advise you on bankruptcy information you need to collect, such as pay stubs, tax returns, statements from your various bills, banking, investment, and retirement accounts.
2. Credit counseling – This has to be done before filing. Find a certified credit counselor. After your session, you will be issued a certificate that you must include in the paperwork when you file your bankruptcy petition.
3. Paperwork review and filing – Your bankruptcy attorney will review your information and help you procure the necessary paperwork for your petition for bankruptcy. Based on the same information, your lawyer will also will calculate a debt payment plan.
4. First plan payment – This is due 30 days after filing the bankruptcy case. It can be done through an online payment option, money order, checking account debit, or payroll deduction, depending on what your bankruptcy trustee requires. Remember to also stay current with obligations not included in your plan, e.g. car loan or mortgage payments.
5. 341 meeting of creditors – About a month after you file bankruptcy, you and your lawyer will have to meet with the bankruptcy trustee assigned to your case. Despite its name, creditors rarely show up. You have to answer questions from the trustee on record and under oath. The trustee makes sure that you understand the plan, as well as the policies and procedures involved.
6. Education course – Bankruptcy cases entail completion of a financial management course. It may be done online or over the phone. The bankruptcy court won’t discharge a debt unless a debtor education course certificate is filed.
7. Plan confirmation – A few months after you file a bankruptcy petition, there will be a hearing for the approval of your plan, which must meet various requirements, such as providing payment for overdue alimony, child support, income tax, and other debts that must be prioritized. Arrears on secured debts must also be paid if you intend to avoid foreclosure or repossession. Your income must, of course, be sufficient to make the plan feasible.
8. Claims resolution – Claims from creditors must be filed with the court. You and your lawyer must go over them to make sure that they’re correct and documented. In case of justified objections, you may have to adjust your plan to accommodate them.
9. Trustee check-ins – In the duration of your three-to-five-year plan, your trustee will check in with you by asking you to provide tax returns copies or confirmation from creditors that your monthly payments are up to date.
10. Discharge preparation – Upon nearing the end of your case, you will have to file a certification, proving that your debt payments are current, all your tax returns are filed, and all your financial obligations are met.
11. Bankruptcy discharge – When you’ve fulfilled your payment plan, filed the correct certifications, and completed your financial management course, the court will issue a discharge that will wipe out all qualifying debts.

Seattle Chapter 13 Lawyers
Chapter 13 bankruptcy proceedings can be complex and quite daunting. Bankruptcy lawyers can guide filers through the experience so that they do every step correctly. If you need to file for bankruptcy under Chapter 13, call us at Northwest Debt Relief Law Firm and talk to one of bankruptcy attorneys for legal advice and assistance.

The post Chapter 13 Bankruptcy Timelines appeared first on Vancouver Bankruptcy Attorney | Northwest Debt Relief Law Firm.

Part I of this short series on real estate transactions covered the property title. Part II looked at title insurance. Both set the stage for a smooth closing, which is how this real estate series wraps up.
Wynn at Law, LLC takes on five roles for the client – homebuyer or seller – during the closing and beyond. If this production was a movie, Wynn at Law, LLC is the…
Director
The real estate attorney directs communication between all parties in the closing. Realtors, lenders, title companies, sellers, and buyers all follow the lawyers’ lead. There are other cast members involved, too, that aren’t even at the closing table. Contractors and inspectors are two examples. The attorney makes sure their work has been completed in good faith before it’s time for the signatures.
Editor
On the day of closing the attorney is present to review the various instruments associated with the real estate, such as the deed and loan documents, such as the mortgage. In actuality, Wynn at Law, LLC makes sure all documents are accurate days beforehand, if possible. If dates, disbursements, or other details need editing, the details are edited by the attorney and reviewed by all parties before the deed is signed and recorded.
Narrator
If there are any questions at the closing table, the attorney explains documents such as the deed, promissory note, or a closing/settlement statement.
Distributor
While the attorney doesn’t actually handle the checks, money isn’t distributed until the attorney approves of the distribution.
And finally, Wynn at Law, LLC is Public Relations for this ‘movie.’ No production becomes a hit without Public Relations. To us, that means making sure our client is happy, secure, and legally sound after the sale. We want to be on your team for your next real estate transaction, too, whether it’s months or years down the road. Let’s say a new neighbor wants to get in your business about the property line or the HOA suddenly changes bylaws. Your real estate attorney swings in action beyond the closing to protect you and your property.
 
image by Jakub Gojda, used with permission.
The post The Real Estate Transaction, Part III: Closing and Beyond appeared first on Wynn at Law, LLC.