COVID-19 is a wrecking ball destroying small Nebraska businesses, but at some point the medical crisis will end and the debt crisis will take off.
So far the damage has been mitigated by programs such as the Paycheck Protection Plan, but business revenues have dropped dramatically and consumer spending is not likely to return
The COVID-19 virus has caused millions of Americans to file unemployment claims, and the federal government has increased state unemployment benefits by $600 per week though July 2020.
May a creditor garnish unemployment benefits in Nebraska?
Nebraska Statute 48-647 states that “benefits received by any individual, so long as they are not mingled with other
Presidential candidate Joe Biden recently came out in support of Senator Elizabeth Warren’s bankruptcy reform plan, which is somewhat embarrassing because she is basically proposing to nullify the Bankruptcy Reform Act of 2005 championed by Biden.
Our nation is at the beginning of a COVID-19 Recession that, once again, is dragging the bottom
An email from a new client:
Hi Sam! Thank you for your time yesterday. A few quick questions for you.
The unfolding of the COVID-19 virus episode has been the weirdest experience in my lifetime. I remember the courthouse bombing by Timothy McVeigh in Oklahoma City and commercial jets hitting the Twin Towers on 9/11, but those were one day events.
The corona virus is different because it continues from day to day
Below is a letter written by a 64-year old bankruptcy attorney to the United States Trustee, the agency that oversees bankruptcy cases.
Clifford J. White III, Director
Executive Office for U.S. Trustees
Re: Covid-19 and consumer bankruptcy practice
Dear Director White:
On behalf of our NACBA membership and our entire NACBA Board of Directors, I
At first glance it appeared that the debtor had a “slam dunk” case to receive a hardship discharge of her $140,000 student loan debt.
The debtor is a 36-year-old single mother of two disabled children, ages 11 and 12. She received no child support since her ex-husband voluntarily terminated his parental rights. She could not
Lower-income debtors simply cannot afford the high cost of filing chapter 7, and that is a real problem when garnishments strike.
The cost of filing Chapter 7 in Nebraska ranges from $1,300 to $1,800 and ALL of those fees must be paid in full to file a case. How can low-income debtors stop garnishments
The ironic feature of the bankruptcy system is that a debtor must come up with a lot of money to file a case. Indeed, it costs a lot of money to go broke!
According to bankruptcy law professors Pamela Foohey, Robert M. Lawless, Katherine Porter