General bankruptcy article. The article usually spans several topics.

When Can I Buy A Home After Bankruptcy

When Can I Buy A Home After Bankruptcy and Foreclosure?

I was speaking with a friend the other day who about a year ago short sold a home following a job loss and related struggles. She had a short-sale and wanted to know when she could buy a home after bankruptcy and foreclosure or a short sale. Her situation is very common. She short sold her home following a job loss and nearly two years of negotiations with her mortgage lender. During negotiations of the short sale the loan was transferred (which led to the first buyer walking away) and numerous lost documents by the lender. Read more

Should I Sign A Reaffirmation Agreement

What Is a Reaffirmation Agreement?

A reaffirmation agreement is an agreement by which the debtor agrees to remain personally liable for a debt post-bankruptcy.   A reaffirmation agreement essentially eliminates the benefit of filing for bankruptcy for that one specific debt.  Because reaffirming a debt undermines the most basic benefit of filing for bankruptcy, we generally discourage our clients from signing a reaffirmation agreement, unless required to do so by the lender to keep the property. If you are inclined to sign one, you should seek counsel from an experienced bankruptcy lawyer before entering into a reaffirmation agreement.  Read more

Why Is Bankruptcy A Constitutional Principle?

Ever wondered why is bankruptcy a Constitutional Principle? The United States constitution has only 4,400 words. It is the oldest and shortest written Constitution of any major government in the world. Article 1, Section 8 of the constitution grants Congress the power “To establish…uniform Laws on the subject of Bankruptcies throughout the United States.” The Preamble of the Constitution explains that the purpose of the Constitution is to “form a more perfect union, establish Justice, insure domestic Tranquility, provide for the common defence [sic], promote the general Welfare, and secure the Blessings of Liberty to ourselves and our Posterity…” Considering the paramount import and brevity of the Constitution, it begs the important question: Why did the framers consider bankruptcy a fundamental principle of our union? Read more

What Is a Section 341 Meeting of Creditors?

Many of our clients are initially somewhat concerned about the meeting of creditors.  The meeting of creditors need not cause substantial concern. Frequently after the meeting our clients will comment that “it wasn’t as bad as I thought”. Read more

Are Federal or State Taxes Dischargeable in Bankruptcy?

One of the most frequently asked questions that we hear in our Utah bankruptcy practice is whether taxes can be discharged in bankruptcy. The answer to such a seemingly simple question is actually quite complicated. Some federal and state income taxes may be eligible for discharge under Chapter 7 or Chapter 13 of the bankruptcy code under certain circumstances. Read more

Increases to Utah Bankruptcy Exemptions

Keep More Property in Bankruptcy

The Utah legislature amended the Utah bankruptcy exemptions  in 2013.  Bankruptcy exemptions are the laws that protect property from liquidation in bankruptcy.  Since Utah has opted out of the federal bankruptcy exemptions, the Utah amendments means that bankruptcy filers can now keep more property when filing in Utah.  The new exemptions take effect on May 14, 2013. Read more

Can I File Bankruptcy Without My Spouse?

Frequently clients need to file for bankruptcy, but want to do so without his or her spouse being affected.  That raises the questions: Can a married person file bankruptcy alone? How is the non-filing spouse impacted when their spouse files bankruptcy alone? Read more

Does Filing for Bankruptcy in Salt Lake mean You’re Dishonest or Unethical?

One of the most common concerns or misconceptions that clients express in one form or another is an insecurity that if they file bankruptcy that makes them somehow unethical or dishonest.  While there may be a small minority of people who intentionally abuse the bankruptcy system, it is my overwhelming experience that people filing bankruptcy are honest, hard-working and upstanding people.  The fact is that every society has some system to deal with honest and hard-working people who are experiencing extreme financial hardship. Read more

Capstone Law Opens Office in Lehi

Located in the heart of Utah County, the bankruptcy law firm of Capstone Law has opened an office in Lehi, Utah.  The opening extends Capstone Law’s physical presence into Utah County.Capstone Law has long served Utah County residents with chapter 7 and chapter 13 online bankruptcy services.  Now Utah County residents can chose to either have an “online” or a physical experience in working withCapstone Law. Read more

What Are The Different Chapters of Bankruptcy?

Most people are unaware that there are four chapters of bankruptcy that a person can file. What are the different chapters of bankruptcy? We will provide an overview of the different chapters of bankruptcy.

There are four primary chapters in bankruptcy–chapter 7, chapter 11, chapter 12, and chapter 13.  Each chapter is designed to satisfy different needs and has different qualifications.  This article will provide a basic overview of each chapter of bankruptcy.  More emphasis will be given to chapter 7 and chapter 13 bankruptcies as these are the most common for individuals. Read more