Is Chapter 7 Still Available To a Debtor?
The Bankruptcy Code was significantly amended with a general effective date of October 17, 2005. It was Congress' intent to make those who could afford to pay back a portion of their debt ineligible to eliminate their debt in a Chapter 7 bankruptcy. This intent is being carried out by the advent of the "means test". This test can be invoked by any creditor, the trustee, the court or the U.S. Trustee.
To determine if a debtor can afford to pay back a portion of his debts, you must commence a complicated mathematical equation.
You must first take the debtor's current monthly income (CMI). If the debtor's CMI is less than the state median income, the debtor can file a Chapter 7 and no further calculations are required. For information on state median incomes, visit http://www.census.gov/hhes/income/4person.html.
Current Monthly Income is not determined by the income made during the current or previous month. I know that seems like a contradiction, but follow along. The actual (CMI) is the average monthly income received by the debtor and the debtor's spouse if the debtor is married during the six month period prior to the petition date. This effectively prevents a debtor who is out of work for one month from claiming that he cannot pay back his debt. He may in fact have a high (CMI) if his income from the prior five months was great. So you can see that Congress has tightened the loophole. Under the old law, an out of work debtor would be scrutinized only as of the date of filing. Under the new law, a larger snapshot is taken to determine if the debtor has the means to pay back his debts.
If the debtor's CMI is greater then the state median income, then you must continue to calculate in accordance with the means test formula to determine if the debtor can file a Chapter 7 or not.
If the debtor's CMI, less allowable deductions is less than $100.00 per month, then the debtor can file for bankruptcy under Chapter 7. If the debtor's CMI, less allowable deductions is greater than $166.00, then the debtor must file a Chapter 13 bankruptcy.
If the debtor's CMI, less allowable deductions is between $100.00 and $166.00, then he may need to file under Chapter 13 depending upon the amount of unsecured debt and the percentage that could be repaid using the debtor's disposable income over a five year period. If the disposable income amount is not enough to pay 25% to unsecured creditors over a five year period, the debtor can file a Chapter 7. Thus, the amount of debt is a factor in determining whether the debtor must file a Chapter 13. The greater the debt, the more likely that the debtor will be able to file a Chapter 7. As you can see, the math calculations are very complex.
Additionally, you cannot utilize the debtor's expenses when calculating disposable income. Disposable income is now based upon expense standards provided by the Internal Revenue Service as they relate to the local area in which the debtor lives.
If the debtor has disposable income of $167.00 per month, he will always fail the means test, regardless of how much unsecured debt the debtor may have. Additionally, the Chapter 13 plan will have to be for five years, not three years.
The presumption of abuse or failing the means test can always be rebutted. The debtor will have to demonstrate special circumstances that would decrease the income or increase the expenses, so that the debtor actually qualifies for Chapter 7. For example, the debtor may have constant medical expenses which are beyond the limits of IRS guidelines. That debtor may be able to rebut the presumption of abuse under the new means test. Please contact an experienced bankruptcy attorney to determine the likelihood that you will qualify for Chapter 7 bankruptcy relief.
How Often Can an Individual File for Chapter 7 Bankkruptcy?
Under the current law, a debtor can only receive a discharge once every eight years. This is an extension from the old law which permitted a discharge once every six years.
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David M. Siegel is the author of Chapter 7 Success: The Complete Guide to Surviving Personal Bankruptcy. He is a member of the American Bankruptcy Institute and currently practices bankruptcy law in Chicago and its surrounding suburbs. Additional information is available at http://www.chapter7success.com .
e-security legal issues
One way for a reseller to gain an edge on competitors is to market the advantages associated with its products in a unique way. In the security channel, a white paper marketing the legal and commercial advantages of a security product presented in a compelling way may prove to be a successful method of enticing a customer into purchasing your security solution.
Security is critical, there is no doubt about it. The smallest breach or compromise can result in situations that can cripple business. Recently, the two big e-security stories have been the disruption to the Russian Trading System (RTS) stock exchange caused by a virus in early February and the extradition proceedings currently underway in the UK against a hacker who allegedly hacked into approximately 100 Pentagon, NASA and other American military networks.
One area of e-security that a white paper could be prepared on is surveillance. Many organisations are already aware of the vulnerabilities posed by internal staff and subcontractors using the organisation's corporate network and always-on internet access. In fact, most large organisations now track their employees' internet and email usage to ensure that trade secrets are not being leaked to competitors via these means and that employees are not using internet access for other unscrupulous purposes.
In New South Wales, parliament recently passed new workplace surveillance legislation that is now in effect. Your customers should be made aware of these laws. The new laws regulate the use of computer, camera and tracking devices. The main obligation imposed on your customers under these laws is the obligation to notify employees of surveillance practices at least 14 days prior to commencing surveillance activities. The new laws also set out specific procedures and practices associated with covert surveillance. Further, obligations are imposed in relation to the retention of surveillance records and there are new obligations related to computer policies and other documentation that employees need to be made aware of. The new laws should not be taken lightly. Breach of the new laws may attract significant penalties. In addition, if a company contravenes any provision of the new laws, all directors and management of the company may also be held accountable.
Another way of enticing your customers is to mention the legal consequences associated with breaching e-security. Hackers can be brought before courts under Australian computer crime laws for gaining unauthorised access to computer systems. These laws may even see hackers thrown in jail.
Organisations who are serious about e-security should ensure they are covered by an insurance policy that extends to loss occasioned as a result of hacking or breach of the organisation's e-security generally. Customers should be reminded that breaches of electronic security measures can be just as disastrous as breaches of physical security measures.
Disclaimer: This column is for general informational purposes only. It is not legal advice nor is it a substitute for legal advice. Readers should seek legal advice on their own particular circumstances.
Alan Arnott is a technology & telecommunications lawyer with qualifications in computer science and law with Arnotts Lawyers in Sydney. For more information, please visit http://www.arnotts.net.au
Trileptal Side Effects
Trileptal side effects including Stevens Johnson Syndrome (SJS) and Toxic Epidermal Necrolysis (TEN) have been added to the drugs warning label following reports of an increased risk of severe skin conditions in patients. Trileptal can cause allergic reactions including skin reactions that in certain cases can be life-threatening.
Trileptal was approved by the Federal Drug Administration (FDA) in January 2000. Trileptal, an anticonvulsant or antiepileptic drug (AED), was approved for use as an adjunctive and monotherapy for the treatment of partial seizures in adults with epilepsy and for the adjunctive treatment of partial seizures in children, ages 4-16, with epilepsy.
The precise way that Trileptal (oxcarbazepine) exerts its antiseizure effect is not fully understood. Pharmacological activity results from oxcarbazepine and its monohydroxy metabolite (MHD). Oxcarbazepine and MHD are known to block voltage-sensitive sodium channels, stabilizing hyper excited neuronal membranes, inhibiting repetitive firing, and diminution of the propagation of synaptic impulses. These actions are thought to prevent the spread of seizures. Oxcarbazepine and MHD also appear to increase calcium conductance and modulate calcium channels in the central nervous system.
The FDA reports a 3 to 10 higher rate of Stevens Johnson Syndrome (SJS) and Toxic Epidermal Necrolysis (TEN) than the average incidence rates for these skin disorders. Stevens Johnson Syndrome is a severe skin disease which is potentially life-threatening. It may cause skin peeling, rashes, blistering and sores on mucous membranes. SJS can lead to scarring of mucous membranes, blindness, lung damage, arthritis, dry eye syndrome, and asthma.
The potentially fatal Trileptal side effect Toxic Epidermal Necrolysis has also been reported as a reaction to the medication. TEN is similar to SJS in that it is a skin disease that involves the development of a rash that can spread throughout the body. TEN starts with non-specific symptoms that include cough, aching, fever, and headaches. This can be followed by the development of a rash across the face and the torso of the body and then continue to spread to other areas of the body. The rash can then lead to blisters which can form in areas such as the eyes, mouth, and vaginal areas. In addition, the mucous membranes can be affected. Toxic Epidermal Necrolysis can also cause layers of the skin to peel away in sheets. The affected skin can resemble burned skin and cause serious infections which can lead to death.
A reaction to medication is a significant cause of both Stevens Johnson Syndrome and Toxic Epidermal Necrolysis. Patients of any age can find themselves affected by these skin disorders. However, they are typically seen in older patients and people with AIDS who have a diminished ability to fight off infections due to having a lower immunity. Patients who are experiencing any of the symptoms associated with Trileptal side effects should seek medical attention immediately. The earlier that treatment can be initiated the better chance there is for recovery.
Steve Fields
To learn more about Trileptal side effects please visit our website.
We work with Trileptal attorneys representing clients in Minnesota, Wisconsin, Iowa, Arizona, North Dakota, South Dakota and throughout the United States.
To determine if a debtor can afford to pay back a portion of his debts, you must commence a complicated mathematical equation.
You must first take the debtor's current monthly income (CMI). If the debtor's CMI is less than the state median income, the debtor can file a Chapter 7 and no further calculations are required. For information on state median incomes, visit http://www.census.gov/hhes/income/4person.html.
Current Monthly Income is not determined by the income made during the current or previous month. I know that seems like a contradiction, but follow along. The actual (CMI) is the average monthly income received by the debtor and the debtor's spouse if the debtor is married during the six month period prior to the petition date. This effectively prevents a debtor who is out of work for one month from claiming that he cannot pay back his debt. He may in fact have a high (CMI) if his income from the prior five months was great. So you can see that Congress has tightened the loophole. Under the old law, an out of work debtor would be scrutinized only as of the date of filing. Under the new law, a larger snapshot is taken to determine if the debtor has the means to pay back his debts.
If the debtor's CMI is greater then the state median income, then you must continue to calculate in accordance with the means test formula to determine if the debtor can file a Chapter 7 or not.
If the debtor's CMI, less allowable deductions is less than $100.00 per month, then the debtor can file for bankruptcy under Chapter 7. If the debtor's CMI, less allowable deductions is greater than $166.00, then the debtor must file a Chapter 13 bankruptcy.
If the debtor's CMI, less allowable deductions is between $100.00 and $166.00, then he may need to file under Chapter 13 depending upon the amount of unsecured debt and the percentage that could be repaid using the debtor's disposable income over a five year period. If the disposable income amount is not enough to pay 25% to unsecured creditors over a five year period, the debtor can file a Chapter 7. Thus, the amount of debt is a factor in determining whether the debtor must file a Chapter 13. The greater the debt, the more likely that the debtor will be able to file a Chapter 7. As you can see, the math calculations are very complex.
Additionally, you cannot utilize the debtor's expenses when calculating disposable income. Disposable income is now based upon expense standards provided by the Internal Revenue Service as they relate to the local area in which the debtor lives.
If the debtor has disposable income of $167.00 per month, he will always fail the means test, regardless of how much unsecured debt the debtor may have. Additionally, the Chapter 13 plan will have to be for five years, not three years.
The presumption of abuse or failing the means test can always be rebutted. The debtor will have to demonstrate special circumstances that would decrease the income or increase the expenses, so that the debtor actually qualifies for Chapter 7. For example, the debtor may have constant medical expenses which are beyond the limits of IRS guidelines. That debtor may be able to rebut the presumption of abuse under the new means test. Please contact an experienced bankruptcy attorney to determine the likelihood that you will qualify for Chapter 7 bankruptcy relief.
How Often Can an Individual File for Chapter 7 Bankkruptcy?
Under the current law, a debtor can only receive a discharge once every eight years. This is an extension from the old law which permitted a discharge once every six years.
------
David M. Siegel is the author of Chapter 7 Success: The Complete Guide to Surviving Personal Bankruptcy. He is a member of the American Bankruptcy Institute and currently practices bankruptcy law in Chicago and its surrounding suburbs. Additional information is available at http://www.chapter7success.com .
e-security legal issues
One way for a reseller to gain an edge on competitors is to market the advantages associated with its products in a unique way. In the security channel, a white paper marketing the legal and commercial advantages of a security product presented in a compelling way may prove to be a successful method of enticing a customer into purchasing your security solution.
Security is critical, there is no doubt about it. The smallest breach or compromise can result in situations that can cripple business. Recently, the two big e-security stories have been the disruption to the Russian Trading System (RTS) stock exchange caused by a virus in early February and the extradition proceedings currently underway in the UK against a hacker who allegedly hacked into approximately 100 Pentagon, NASA and other American military networks.
One area of e-security that a white paper could be prepared on is surveillance. Many organisations are already aware of the vulnerabilities posed by internal staff and subcontractors using the organisation's corporate network and always-on internet access. In fact, most large organisations now track their employees' internet and email usage to ensure that trade secrets are not being leaked to competitors via these means and that employees are not using internet access for other unscrupulous purposes.
In New South Wales, parliament recently passed new workplace surveillance legislation that is now in effect. Your customers should be made aware of these laws. The new laws regulate the use of computer, camera and tracking devices. The main obligation imposed on your customers under these laws is the obligation to notify employees of surveillance practices at least 14 days prior to commencing surveillance activities. The new laws also set out specific procedures and practices associated with covert surveillance. Further, obligations are imposed in relation to the retention of surveillance records and there are new obligations related to computer policies and other documentation that employees need to be made aware of. The new laws should not be taken lightly. Breach of the new laws may attract significant penalties. In addition, if a company contravenes any provision of the new laws, all directors and management of the company may also be held accountable.
Another way of enticing your customers is to mention the legal consequences associated with breaching e-security. Hackers can be brought before courts under Australian computer crime laws for gaining unauthorised access to computer systems. These laws may even see hackers thrown in jail.
Organisations who are serious about e-security should ensure they are covered by an insurance policy that extends to loss occasioned as a result of hacking or breach of the organisation's e-security generally. Customers should be reminded that breaches of electronic security measures can be just as disastrous as breaches of physical security measures.
Disclaimer: This column is for general informational purposes only. It is not legal advice nor is it a substitute for legal advice. Readers should seek legal advice on their own particular circumstances.
Alan Arnott is a technology & telecommunications lawyer with qualifications in computer science and law with Arnotts Lawyers in Sydney. For more information, please visit http://www.arnotts.net.au
Trileptal Side Effects
Trileptal side effects including Stevens Johnson Syndrome (SJS) and Toxic Epidermal Necrolysis (TEN) have been added to the drugs warning label following reports of an increased risk of severe skin conditions in patients. Trileptal can cause allergic reactions including skin reactions that in certain cases can be life-threatening.
Trileptal was approved by the Federal Drug Administration (FDA) in January 2000. Trileptal, an anticonvulsant or antiepileptic drug (AED), was approved for use as an adjunctive and monotherapy for the treatment of partial seizures in adults with epilepsy and for the adjunctive treatment of partial seizures in children, ages 4-16, with epilepsy.
The precise way that Trileptal (oxcarbazepine) exerts its antiseizure effect is not fully understood. Pharmacological activity results from oxcarbazepine and its monohydroxy metabolite (MHD). Oxcarbazepine and MHD are known to block voltage-sensitive sodium channels, stabilizing hyper excited neuronal membranes, inhibiting repetitive firing, and diminution of the propagation of synaptic impulses. These actions are thought to prevent the spread of seizures. Oxcarbazepine and MHD also appear to increase calcium conductance and modulate calcium channels in the central nervous system.
The FDA reports a 3 to 10 higher rate of Stevens Johnson Syndrome (SJS) and Toxic Epidermal Necrolysis (TEN) than the average incidence rates for these skin disorders. Stevens Johnson Syndrome is a severe skin disease which is potentially life-threatening. It may cause skin peeling, rashes, blistering and sores on mucous membranes. SJS can lead to scarring of mucous membranes, blindness, lung damage, arthritis, dry eye syndrome, and asthma.
The potentially fatal Trileptal side effect Toxic Epidermal Necrolysis has also been reported as a reaction to the medication. TEN is similar to SJS in that it is a skin disease that involves the development of a rash that can spread throughout the body. TEN starts with non-specific symptoms that include cough, aching, fever, and headaches. This can be followed by the development of a rash across the face and the torso of the body and then continue to spread to other areas of the body. The rash can then lead to blisters which can form in areas such as the eyes, mouth, and vaginal areas. In addition, the mucous membranes can be affected. Toxic Epidermal Necrolysis can also cause layers of the skin to peel away in sheets. The affected skin can resemble burned skin and cause serious infections which can lead to death.
A reaction to medication is a significant cause of both Stevens Johnson Syndrome and Toxic Epidermal Necrolysis. Patients of any age can find themselves affected by these skin disorders. However, they are typically seen in older patients and people with AIDS who have a diminished ability to fight off infections due to having a lower immunity. Patients who are experiencing any of the symptoms associated with Trileptal side effects should seek medical attention immediately. The earlier that treatment can be initiated the better chance there is for recovery.
Steve Fields
To learn more about Trileptal side effects please visit our website.
We work with Trileptal attorneys representing clients in Minnesota, Wisconsin, Iowa, Arizona, North Dakota, South Dakota and throughout the United States.