Bankruptcy

 

Barney McKenna & Olmstead represents individuals and businesses in filing for bankruptcy relief under Chapter 7 (discharge of debt), Chapter 13 (reorganization and discharge of debt) and Chapter 11 (more complex reorganization and discharge of debt).

 

The firm’s bankruptcy practice addresses a wide range of financial and legal issues, including mortgage foreclosures, credit cards debt, loan defaults, federal income tax debt, condominium liens, divorce liabilities, real estate taxes, loan guaranties, and business debt.

 

A substantial portion of the practice area is dedicated to providing bankruptcy relief to clients caught in the Utah and Nevada real estate crisis, including addressing mortgage foreclosures. Certain Chapter 13 clients may be able to avoid a junior mortgage if the value of the real estate has fallen. Some clients are able to obtain a modification of their mortgages while under the protection of the bankruptcy case.

 

Keep in mind that bankruptcy is not the same in every state. In addition, the Bankruptcy Code has been revised several times in the last few years. Old rumors of how long your credit will be damaged and how long it takes before you can establish credit are no longer true. There is little if any shame, stigma or embarrassment associated with Bankruptcy today. In fact, the Bankruptcy Court has declared that it is a perfectly good reason to go bankrupt for any "valid business reason." This means getting out of a bad lease, an obligation or obligations or debts that you can no longer afford.