Bankruptcy Newsletters

Administrative Claims

Administrative expense claims in bankruptcy cases are entitled to first priority ahead of all other general unsecured claims and, therefore, they are paid in full before all other unsecured claims to the extent there are available unencumbered funds in the debtor's bankruptcy estate. Administrative expense claims are given first priority status in bankruptcy to induce parties to do business with the debtor's bankruptcy estate.

Bankruptcy Reform - Will It Affect Eligibility?

The battle over bankruptcy reform seems to be an ongoing struggle between the would-be reformers and those who feel that debtors' rights would be adversely affected by reform of the bankruptcy laws. Despite the differences in opinion, many lawmakers agree with creditors that loopholes in the law need to be closed.

Chapter 12 Hardship Discharge

A Chapter 12 hardship discharge may only be granted if the unsecured creditors have received at least as much as they would have received through a Chapter 7 liquidation and if modification of the plan is not feasible.

The Bankruptcy Appellate Panels and Review of Bankruptcy Decisions

Bankruptcy Appellate Panels or "BAPs"

Treatment of Property Settlement Claims

Certain property settlements are not dischargeable in a Chapter 7, 11 or 12 bankruptcy case, but remain dischargeable in Chapter 13 cases. Support, alimony or maintenance that is incurred by the debtor in the course of a divorce or separation or in connection with a separation agreement, divorce decree or other order of a court are generally not dischargeable.