Blog

Everything You Need to Know about the Means Test


In 2005, Congress decided to revise the bankruptcy code, which hadn’t been changed much during the previous 25 years. Why did they choose to revise? Congress and bankruptcy courts had become increasingly concerned that too many people were filing for bankruptcy – and their cases approved – who could actually afford to pay their debts. The revised bankruptcy code is...

Read More

Losing Profit Leads to Store Closings for Sears


Remember the days when everyone would shop at Sears for back-to-school clothes after receiving the annual catalog in the mail? Well, the once-dominating department store is closing stores across the U.S. This is due to the company’s inability to reach sales goals, which ultimately means they’re losing profits. They currently can’t afford to keep stores open that are underperforming. In...

Read More

Andy Warhol’s Interview Magazine – The End of an Era


In 1969, Interview magazine was founded. It is a publication that details arts and culture, and which was started by Andy Warhol. On Monday, May 21, 2018, employees of the magazine company publicly tweeted that the publication is filing for bankruptcy. This comes nearly 50 years after the first issue was released. Let’s take a look at the history of...

Read More

Bankruptcy in the News – Gibson Brands, Inc. Files for Bankruptcy


For any musicians reading this, you may be devastated to learn that the guitar company, Gibson, recently filed for bankruptcy. But don’t worry, all may not be lost; the leading guitar company plans to stay in business by focusing solely on manufacturing and selling guitars and other instruments, while gutting its consumer electronics line of products like speakers, headphones, and...

Read More

Who is Responsible for Paying Bankruptcy Debts?


Filing for bankruptcy may seem very confusing. You may be asking yourself, “Where does the debt go?” or “Who pays for the debt?”. The answers to these questions all depend on the type of bankruptcy you file, be it either a Chapter 7 liquidation or Chapter 13 wage-earner plan. Let’s unpack this and clear up some of the confusion: Chapter...

Read More

How Bankruptcy Can Help in Foreclosure


​2017 saw the lowest number of foreclosures in the U.S. since 2005: 676,535 foreclosures. A foreclosure is when a homeowner defaults on their mortgage obligation usually when they miss three or more consecutive mortgage payments.  The lender will then typically files a Notice of Default (NOD). The lender will then take possession of the property in an attempt to sell it in order...

Read More