FAQ

Bankruptcy Law

• What is bankruptcy?
• What type of bankruptcy should I file?
• Who can file bankruptcy?
• How often can you file for bankruptcy?
• How much debt do you need to have to file?
• Can all types of debt be discharged?

Family Law

• Following a divorce how does alimony and spousal support work?
• How is the amount of child support calculated?
• What are the common factors used in determining child support?
• How is it decided which parent will get cusody of the child?
• What does the divorce process involve?
• What kinds of assets are divided in a divorce?

What is bankruptcy?

Bankruptcy allows individuals or businesses who owe others more money than they're able to pay to either work out a plan to repay the money over time or completely eliminate, or discharge, most of the bills.

What type of bankruptcy should I file?

The selection of which type to file depends on your particular circumstances and whether or not there are assets available to repay all, or part, of the debts owed. Bankruptcy laws can be tricky and involved, so determining if you should bankrupt and what type of bankruptcy you need should be made with the input of an experienced bankruptcy lawyer.

Who can file bankruptcy?

Just about any person or business owing money to a creditor can file for bankruptcy.

How often can you file for bankruptcy?

You can file a Chapter 7 bankruptcy every eight years from a previous Chapter 7 filing or six years from a prior Chapter 13 filing. You can file a Chapter 13 bankruptcy four years from a prior Chapter 7 filing or two years from a prior Chapter 13 filing.

How much debt do you need to have to file?

This is no specific amount. However, some situations may not warrant filing for bankruptcy. Sometimes you can make arrangements with individual creditors for a change in payment amounts or a reduction in the total amount due.

Can all types of debt be discharged?

No. The debts that cannot be discharged vary slightly between the different chapters of bankruptcy. Generally, the following cannot be discharged:

• Debts for taxes owed to local, state or federal agencies
• Debts for money, property, services, or an extension, renewal, or refinancing of credit, which was obtained fraudulently
• Debts which were neither listed nor scheduled or which the debtor waived discharge
• Debts which are owed to a spouse, former spouse, or child of the debtor, for alimony, maintenance, or support of such spouse or child, in connection with a separation agreement, divorce decree or other order of a court of record
• Debts owed for willful and malicious injury by the debtor to another person or property owned by another.
• Debts for government-sponsored educational loans, unless it can be shown that repayment will cause an undue hardship
• Debts for death or personal injury caused by the debtor's drunk driving or from driving while under the influence of drugs or other substances
• Debts incurred after a bankruptcy was filed

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Family Law

Following a divorce how does alimony and spousal support work?

Either spouse may be awarded alimony if the other has the more substantial income, or the one spouse's income does not allow them to continue to live in the manner they did during the marriage.

Spousal support is often awarded in cases where one spouse put career or educational ambitions on hold to raise the child, while the other was free to advance in those areas. This type of financial support is generally temporary.

How is the amount of child support calculated?

Guidelines vary from state to state, but are all based on the parental incomes and the needs of the child. There are general rules of thumb by which percentages of parental income can yield child support amounts, but these are subject to change depending on a whole host of circumstances, as well as the judge who is presiding over the case.

What are the common factors used in determining child support?

Virtually unchanging criteria considered in calculating child support, no matter what the state, include:

• Child's standard of living prior to divorce
• Paying parent's ability to pay
• Custodial parent's needs and earnings
• The educational, medical and lifestyle needs of the child

How is it decided which parent will get cusody of the child?

This decision varies depending on the specific circumstances, but common factors considered for making this determination include:

• Child's age and gender
• Child's health
• Parents' health
• Any history of abuse
• Emotional bonds between the parent and the child
• Parent's ability to provide the basic necessities
• History of the child's routines, both at home and at school
• If the child is above a certain age, the child's preference

What does the divorce process involve?

A basic outline of the divorce process is as follows:

• One spouse contacts a lawyer, who prepares a complaint setting forth the reasons why for the divorce.
• The complaint is filed with the court and served on the other spouse, together with a summons that requires the spouse's response.
• The served spouse must respond within the time limit prescribed or it will be assumed that he or she does not contest the petition, in which case the petitioner will be granted the requested relief. The response, or answer, must express the relief that the answering spouse requests.
• The parties, through their attorneys, engage in "discovery," during which they exchange all documents and other information relevant to deciding the issues in the divorce such as property division, spousal support, child support, etc.
• The parties may attempt to reach a settlement, which can be initiated voluntarily or facilitated by the parties' lawyers or a neutral third party, such as a mediator.
• If a settlement is reached, the agreement is submitted to the court.
• If the judge approves the agreement, he or she issues a divorce decree that includes the terms to which the parties agreed. If he or she does not approve it, or if there has been no agreement, the case will go to trial.
• At trial, the attorneys present the evidence and arguments for both sides; the judge decides the issues and grants the divorce.
• Either or both parties can appeal the judge's decision to a higher court.

What kinds of assets are divided in a divorce?

Marital property generally includes most of the property the couple acquired during the marriage, often including:

• marital home
• second home
• furnishings and appliances
• artwork
• vehicles
• financial assets
• investments
• retirement accounts
• privately owned businesses

The value of intangible property may also be divided. Examples of divisible intangible property include

• value of a patent on an invention
• value of the celebrity status of a spouse's name
• goodwill value of a business owned by one spouse
• value of a professional degree earned by one spouse.

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