The Legal BLOG

What Will You Do With Your Car After Filing Bankruptcy?

May 18th, 2012

Debtors have options when they file for bankruptcy, and what to do with the car is one of the most important decisions after the house. In our society, having a vehicle is extremely important to get to work, take the kids to school and for trips to the grocery store and other errands. Luckily, in a Chapter 7 proceeding, debtors have three options for a car loan, allowing them to make the best decision for their unique situations in bankruptcy. The first option is to reaffirm the car loan. This means the debtor will keep the car and continue to make the regular payments on the loan. Creditors must agree to a reaffirmation, and they generally will if the loan is worth more than the car. The court must also approve a reaffirmation, and it must make the determination that reaffirming the loan will not present an undue hardship for…
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Does Adultery Affect Divorce in Illinois?

May 16th, 2012

Divorce can be a painful process, and this emotional upheaval is made worse on a spouse when the other commits adultery. Often, adultery sparks contentious and litigious divorces, as the burned spouse is understandably angry and wants the divorce court to make up for the “wrongs” inflicted upon him or her.  Innocent spouses are often disappointed when they are told by their attorneys that marital misconduct is not a factor in the property division in divorce in Illinois, even if the divorce is filed under the fault ground of adultery. The family courts are prevented by statute from considering marital misconduct for property division, spousal support or child custody. Practically, this means that a spouse will not be entitled to a larger share of marital assets or a larger amount of spousal support because the other cheated.  Adultery is not considered in awarding child custody; however, judges do not look…
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“Octomom” Nadya Suleman Files for Chapter 7 Bankruptcy

May 14th, 2012

The blogosphere has exploded with opinions regarding “Octomom” Nadya Suleman’s recently Chapter 7 bankruptcy. With 14 children to care for, less than $50,000 in assets and between $500,000 and one million in debt, she continues to be vilified for her poor decisions. Two of her biggest creditors are a private school her children attended and her father, who gave her money to purchase a home. In a Chapter 7 proceeding, to be eligible to file you must first pass the means test. The Chapter 7 means test first compares your income to others in your state with the same size family. Ms. Suleman no doubt easily qualifies as her monthly expenses for those children must be incredible. Since she does not have regular income, she is unlikely to be able to reaffirm debts like a mortgage or a car. Reaffirmation is only allowed if it would not present an undue…
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