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Dischargeable debts are debts that you owe which the Bankruptcy Code allows to be wiped out or erased. When you file for bankruptcy, you are immediately granted bankruptcy protection even if your debts are not eliminated yet. Filing in Oregon gives you protection from:

• Harassment from your creditors or debt collectors
•  Collection agencies
•  Stop Foreclosure of your house or home
• Repossession of your car and other personal properties
•  Wage garnishment
• Termination of utility services or restoration if such services are already terminated.

What are Debts that are Dischargeable in Oregon?
Some debts are subject to a bankruptcy discharge, which means that these can be wiped out.  These are:

• Attorney fees
• Business debt
• Charge accounts that revolve (exemptions are extended payment charges)
• Claims for vehicular accidents
• Court judgments (for civil cases)
• Collection agency accounts
• Consumer-credit
• Credit card debt
• Debts you owe for lease such as rent dues
• Deficiency balance for repossession
• Dishonored checks  (if not done in fraud)
• Medical bills
• Overpayments and assistance loans for veterans
• Overpayments for Social Security
• Personal loans or liabilities
• Student loans relief if you experienced undue hardship
• Tax penalties and other unpaid taxes
• Unsecured debts
• Utility bills

What Debts are Non-Dischargeable in Oregon?
While there are certain kinds of debts that can be eliminated, there are different types of debts that are considered non-dischargeable such as:

• Child and spousal support
• Alimony
• Tax debts that are fraudulent
• Student loans

For debts that were acquired intentionally or through fraud, even if it is generally considered as dischargeable, due to the element of fraud or willful acts, such dischargeable debt would become non-dischargeable.
When Do I Need to File for my Debts to be Discharged?
In Oregon, timing is important when filing so that what you owe will be wiped. In case you filed for bankruptcy, all the debts included in such paperwork can be discharged upon the approval of bankruptcy court. However, if you did not include certain dischargeable debts in your petition, they will not be removed. Also, if you incurred debts after your bankruptcy petition, they will not be subject to discharge, and you will need to pay off what you owe your lender.
Can you Discharge Secured Debts?
Yes. Secured debt can be discharged in Oregon but the property used as security will go to your creditor. The reason being it is the creditors’ right to obtain ownership of your property until you can pay back what you owed. Furthermore, secured debts are debts where the debtor gives security or collateral for the loan acquired. The most common types of secured debts are mortgages and auto loans in which the item being financed becomes the collateral for the financing. Unsecured debts on the other hand are those that you can usually discharge for they do not have collateral or security.
How to File Bankruptcy in Oregon?
While filing for bankruptcy does not require one to have a bankruptcy attorney, working with a bankruptcy lawyer will greatly help you because bankruptcy law can be very complex. Small mistakes can lead to your petition for bankruptcy being denied, wasting all the time, money, and effort you put in. Here at Northwest Debt Relief Law Firm, our competent bankruptcy attorneys will walk alongside you in your journey to debt relief and a fresh start. Our Oregon bankruptcy lawyers will help you not just before a bankruptcy filing, but also after the discharge. Our lawyers can provide reliable legal advice on matters such as how to rebuild credit, buying a house after bankruptcy, and more. Call us now for a free legal consultation.
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The post What is a Dischargeable Debt in Oregon? appeared first on Portland Bankruptcy Attorney | Northwest Debt Relief Law Firm.

SCOTT MICHAEL FORRESTER, DISBARRED BY THE STATE BAR OF ARIZONA.  EFFECTIVE MAY 5, 2021.
A cherub face hid a very mean personality.
On May 5, 2021, the State Bar of Arizona entered an immediate order of disbarment against Scott Michael Forrester.  This leaves more than 100 bankruptcy clients abandoned and out the money they paid Forrester. 
Hundreds of clients have, or should have, claims against him for bad advice, bad attitude, failure to perform his professional duties and so much more. 

There are multiple State Bar complaints, numerous pending law suits in Bankruptcy Court, plus so many clients who have been mentally abused by Scott Forrester’s. either intentional or unintentional, attitude during his short years in his bankruptcy practice.

Just one example of Scott Forrester’s bad conduct – Bankruptcy Court Hearing on December 1, 2020, Judge Wanslee sanctions Scott M. Forrester for his refusal to comply with court orders:
Judge finds that Scott M. Forrester “willfully violated orders of this court….”  “lack of attention and diligence as to the files he is handling…” “evidence that papers are being filed without review by the clients….which is a clear violation of the Code and Rules” “Mr. Forrester is ordered to disgorge fees…until proof of compliance”  “Court finds that Mr. Forrester has failed to follow the requirements of the Code and the Rules…”  “Mr. Forrester’s practice does not seem to be compliant … it is difficult to see any change or improvement”.  “Clients are not to pay Forrester directly, but must pay to the Registry of the Court.”
.fusion-button.button-1 .fusion-button-text, .fusion-button.button-1 i {color:#00260a;}.fusion-button.button-1 .fusion-button-icon-divider{border-color:#00260a;}.fusion-button.button-1:hover .fusion-button-text, .fusion-button.button-1:hover i,.fusion-button.button-1:focus .fusion-button-text, .fusion-button.button-1:focus i,.fusion-button.button-1:active .fusion-button-text, .fusion-button.button-1:active{color:#004713;}.fusion-button.button-1:hover .fusion-button-icon-divider, .fusion-button.button-1:hover .fusion-button-icon-divider, .fusion-button.button-1:active .fusion-button-icon-divider{border-color:#004713;}.fusion-button.button-1:hover, .fusion-button.button-1:focus, .fusion-button.button-1:active{border-color:#004713;border-width:2px;}.fusion-button.button-1 {border-color:#00260a;border-width:2px;border-radius:0px;}.fusion-button.button-1{background: rgba(255,255,255,0);}.fusion-button.button-1:hover,.button-1:focus,.fusion-button.button-1:active{background: rgba(255,255,255,0);}.fusion-button.button-1 .fusion-button-text {text-transform:uppercase;}READ MOREBankruptcy is not a quick fix.  You must understand the law and work with an attorney who knows their job and treats you with respect.Alert! Never hire a professional (plumber, doctor, lawyer or other) without doing your own investigation.  Talk to their prior clients or patients.  Look at their reviews, but understand that many reviews are fake.  Get advice from at least two professionals before making a decision who to hire.  Fire them immediately if there is any concern.MUSINGS BY DIANE Learn to trust yourself.  If your gut tells you “there is something wrong”, then don’t do it.  If your mind tells you “this is too good”, then don’t do it.  If your heart tells you “I don’t deserve this”, then talk to a close friend to see if you are underestimating yourself, or overestimating the other person. 
Never allow someone to be abusive, whether mental or physical.  If any human abuses another living thing, then that human is sick, not the living thing he/she abused.  Scott Forrester repeatedly yelled at his clients, calling them hurtful names and blaming them for things that were not their fault.  It took me two years of repeatedly bringing attention of his bad acts to the court, clients and the State Bar before he was finally disbarred.  The good news – they did something.  The bad news – think of all the damage done before I ever heard of Forrester, and all the damage done, and still being done, because the system is so slow to respond.  I recognize there is a reason for a bureaucracy to respond slowly, so as not to over-react to a one-time event.  But, what I observed in dealing with Forrester is that he became embolden by the court’s failure to respond quickly. As with any bully, the more you let him get away with his abuse, the more he comes to believe his actions are acceptable.

The first time I heard from his client about the problems, I reached out to Forrester to see if I could help him (I am part of a great consumer debtor mentoring group).  Several other good attorneys did the same.  The results?  Without exception, each of us were rebuked.  Forrester was positive we were trying to “poach” his clients, rather than trying to help him be a better attorney.  When someone has that attitude, then there is nothing you can do, except to make sure the officials know about this bad apple.  And do what you can to get rid of the bad actor.
Never tolerate bullies.  Stand up to them, make noise, report them to the authorities and don’t let up.  You owe it to your fellow humans.  Here is a great video on the topic of dealing with uncomfortable situations.  The speaker, Cindy Villanueva, is great and has some detailed tips “Get Comfortable with Punches“, plus Get Comfortable with Punches Cindy Villanueva 5-21.
– Diane L. Drain
The post Scott Michael Forrester Disbarred Arizona Bankruptcy Attorney – Effective 5/5/2021 appeared first on Diane L. Drain - Phoenix Arizona Bankruptcy Attorney.

This article appeared in Inc. and can be found at: https://www.inc.com/diana-ransom/subchapter-v-bankruptcy-reorganization-...

As the Pandemic Recedes, Small Businesses Face a New Plague: Debt CollectorsCreditors may have held off collecting unpaid debts but rest assured, they'll want to get paid.

BY DIANA RANSOM@DIANARANSOMGetty ImagesThe worst of the pandemic may be over, but many small businesses are headed for a reckoning.As relief efforts like the Paycheck Protection Program (PPP) wind down, and state and federal protections such as eviction moratoriums begin to lapse, companies that may have been limping along or on the edge could soon topple.Or as Bob Keach, head of Bernsteinshur's business restructuring and insolvency practice, puts it: "Expect a total avalanche of bankruptcies soon."It sounds counterintuitive, but "filings tend to be at their highest during the early stage of the recovery," says Keach. A bankruptcy filing is effectively a court order that governs how an insolvent debtor, who can be a business owner or an individual, will deal with unpaid obligations.Why more businesses would elect to file now--in a recovery--all boils down to options: "Debtors want to file when they have options, and creditors cause filings when they have options," says Keach. In periods of stagnation--particularly at the bottom of an economic curve--not a lot happens because not a lot can happen, Keach explains. Lenders aren't being altruistic by allowing you to delay making payments; they want to get paid. (There's an industry term for it: extend and pretend.) But because their hands may have been tied during the pandemic by authorities or because they know it might be a PR boondoggle to force a company to liquidate during a crisis, they hold off, says Keach. Given time and an easing of conditions, they'll act.Debtors themselves might hold off filing for protection until a recovery because they will presumably have more credit sources. Waiting until the economy improves may give businesses some flexibility in restructuring or refinancing legacy debt, says Keach. Plus, should a restructuring involve an infusion of new capital, he adds, it would be an easier sell to lenders if your business has brightening prospects.Warning SignsEarly signs are pointing toward the surge that Keach predicts. Namely, the number of Subchapter V bankruptcy filings is rising. Subchapter V--so named for the section of the U.S. Bankruptcy Code in which it inhabits--marks a serendipitous bankruptcy reform for small businesses that became law in February, 2020, just ahead of the pandemic. Authorized by the Small Business Reorganization Act of 2019 (SBRA), Subchapter V makes reorganizing or liquidating less costly and less time intensive for small companies than filing for the traditional Chapter 11 reorg. The number of these filings increased by 55 percent in February, 59 percent in March, and 112 percent in April 2021, over the same months in 2020, respectively. Further, the Federal Reserve in its latest semi-annual Monetary Policy report, released in February, noted "business leverage now stands near historical highs." The central bank added that, as such, "insolvency risks at small and medium-sized firms, as well as at some large firms, remain considerable."Globally, business insolvencies--that is, companies reporting economic distress--are expected to grow 26 percent this year, with the annual tally hitting 9 percent in the U.S., according to a March forecast from Atradius, an Amsterdam-based credit insurer. That marks a significant increase from 2020, when insolvencies declined by 14 percent globally and fell 5 percent in the U.S.Behind the fallIn the last year, faced with unprecedented health and economic crises, millions of businesses applied for federal aid in the form of PPP loans, Economic Injury Disaster Loans, and Main Street Lending Program loans. They also sought out traditional Small Business Administration-backed loans that--thanks to the Economic Aid Act, which passed in December 2020--were sweetened to include a temporary cessation of fees and interest, and payment subsidies up to $9,000 through September 30 or as long as funds last. All told, the SBA has doled out more than $1 trillion in aid across its various programs since the onset of the pandemic, according to Bill Briggs, the former director of the SBA's office of capital access. He adds that the SBA has even more crisis-era lending authority, too.That's on top of the business owners' pre-pandemic debts, which may have grown during the outbreak. On average, home equity line of credit balances of small business owners jumped up 3.4 percent between February and May 2020, while those of overall individuals declined 0.6 percent over the period, according to an analysis of individual-level data from the New York Fed's Consumer Credit Panel and Equifax's commercial database. While some debts--like PPP loans that end up receiving forgiveness--won't need to be repaid, forgiveness itself remains a big open question for millions of borrowers. The SBA helped underwrite more than 10 million loans worth north of $780 billion since last April. It's likely that some of these loans won't get forgiven, says Melissa Peña, chair of the bankruptcy and creditors' rights group at Norris McLaughlin in Bridgewater, N.J. In that case, she adds, "to the extent that the PPP might not be forgiven, a company might need to discharge that debt."Plus, there's a clock on just about everything else. "Eventually people have to start paying that back," says Mike McGinley, executive vice president of small business banking at Live Oak Bank in Wilmington, N.C. Whether businesses will be able to stomach this repayment depends on how the economy responds, adds McGinley, who notes that an economic boom could go far in helping owners make good on debt payments. But that's not assured--particularly as the recovery has been uneven for many industries. "It's still a bit of a wait and see for small business," he says.Tough ChoicesPriscilla Luna of Today’s Business Solutions, pictured here with her mother Mely Jimenez, who co-founded the business with her husband Robert in 2003.COURTESY COMPANYBusiness owners like Priscilla Luna of Today's Business Solutions are already making major changes to accommodate new-found financial pressures. To pay down a $750,000 credit line she tapped during the depths of the crisis, Luna says she's selling her firm's building, which has served as both showroom and a storage facility for her company, an office supplies, furniture, and technology reseller based in Houston. The initial payment? A sizable $200,000. "That location gave us more credibility with customers who visited us," says Luna. "It's going to be a hard change, but we have to do what we have to do."The credit line, Luna says, was a lifeline in 2020. Whereas Today's Business Solutions booked $30 million in 2019, the company was off by more than a third in 2020. Despite getting a PPP loan in the first round, Luna says she still had to draw on the credit line to pay for everything from health insurance to employees' salaries. Meanwhile, she had to let go of six staffers, including members of her own family. "It was probably the worst day I've ever had," she says.Some founders are lucky enough to be able to use grant money to retire their pandemic-related debts. Sara Dima, the co-founder of R&D Foods, a prepared foods and specialty grocer in Brooklyn, N.Y., says she's using her Restaurant Revitalization Fund grant to pay vendors, whom she put off last year when her company's revenue tanked. And some of what's left, which she declined to disclose to Inc., will go to retire another small loan which she says has a high interest rate."I also might pay us, as owners, a bit more," says Dima. "There were weeks last year where we barely took a salary so that we could meet payroll, pay vendors, pay rent etc."If you're struggling with debt payments, there are out-of-court measures including negotiating directly with vendors and lenders, which Peña says remains a possibility these days. "I am seeing negotiations and forbearance agreements," she says. For others, reorganizing formally may be in order--though Peña points out that it should take place only after you've exhausted other options. "Usually we see it as a last resort," she says. "It is costly and it takes a lot of time and takes time away from management and time away from doing business."If you must, however, at least Subchapter V bankruptcy protection, under SBRA, offers to ease the pain. "The Reorganization Act is bankruptcy lite," says Nick Oberheiden, a federal defense attorney in Dallas. "It's much faster and you get the same protections" as a traditional commercial bankruptcy proceeding, without a lot of the drawbacks.