All items from Drescher Law

When my clients ask, "Why is the trustee looking so closely at my bankruptcy case?" I tell them about trustee appointments.  Chapter 7 trustees are private attorneys appointed to a panel by the Department of Justice.  Trustees are paid only $65.00 per case according to statute and that is the full payment for approximately 95 percent of their cases.  By looking closely at benkruptcy schedules, in about 5 percent of their cases, trustees are able to identify assets.



Posted 1 week 2 days ago

I want you to understand the difference between a bankruptcy dismissal and a bankruptcy discharge.  When you've filed for bankruptcy, whether in Maryland, Pennsylvania or elsewhere, discharge is the desired outcome of your filing.A bankruptcy discharge occurs when you have done everything you're supposed to do.   The court enters a discharge once:• you have confirmed a bankruptcy plan,• you have made all of the payments under a plan, or• when nobody objects to your bankruptcy in a Chapter 7 case,Once your discharge has been entered, your creditors1. can't sue you,2. can't get judgments, and3. cannot enforce their rights against your post-bankruptcy earnings.  I like to call this the "pot of gold at the end of the bankruptcy rainbow."A bankruptcy dismissal is something quite different.  Once you have filed a bankruptcy case, the court has jurisdiction over you and your property.  When certain events occur, the court may well decide that it no longer has jurisdiction and that you don't belong in bankruptcy.  If the court decides that it no longer has jurisdiction, your case is dismissed. 



Posted 5 weeks 22 hours ago

Two years ago I wrote a blog item called 8 Pieces Of Life Changing Advice A Bankruptcy Lawyer Will Give You For Free. The blog was intended as a call to action for distressed debtors to seek legal advice, usually given for free, from a bankruptcy lawyer. One of the most important points I emphasized was that "Without paying a dime a client will learn that ... they should not invade their IRA or 401(k)". My conclusion? The seemingly exaggerated statement that This is free advice that, if taken, may change the course of lives, families and even generations.



Posted 5 weeks 2 days ago

The client is told she'll have to pay something to the trustee in bankruptcy, and her heart sinks. But it doesn't have to be that bad.Every Chapter 7 client wants a "no asset" case, when a debtor's equity in his assets is less than allowed exemptions. But sometimes the client's commissions are just too high, or the car is paid off, or the tax refund is too generous, and there's no room left in the allowed exemptions.When this happens, the client should know that the trustee has his own tough choice: try to sell the assets on the open market, or strike a deal with the debtor? For most trustees who fear that their estate may only be worth a few thousand dollars, the ease of selling the assets back to the debtor far outweights the burden, cost and uncertainty of trying to get top dollar for the assets on the open market.These days, with so many clients still reeling from the real estate boom and bust of the last decade, the debt may have mushroomed to hundreds of thousands or even millions of dollars from homes or investment properties gone bad. Even clients who are eligible for Chapter 13 may choose instead to swallow hard and write a check to the trustee in order to put the mess behind them once and for all.



Posted 6 weeks 2 days ago

In the final match in the first round, Las Vegas debtors Jerry Lewis and Jose Canseco square off to determine who will succeed to the round of 16. Jerry Lewis appeared in the infographic, The Bankruptcy Red Carpet; this is his story:



Posted 21 weeks 4 days ago

Elite athletes Johnny Unitas and Marion Jones face off in this first round matchup in the Plan of Reorganization Regional. Johnny Unitas was featured in the infographic, The NFL Bankruptcy Tailgate Party, and this is his story:Nicknamed “The Golden Arm,” the career of Johnny Unitas spanned three decades and saw him set record after record, winning the Most Valuable Player award three times.  Off the field, however, it was another story.



Posted 21 weeks 5 days ago

In this match, former Major League Baseball center fielder, Lenny Dykstra faces Taylor Armstrong, a former cast member of The Real Housewives of Bankruptcy.Lenny Dykstra appeared in the infographic, Baseball Bankruptcy Hall of Fame, and this is his story:



Posted 21 weeks 6 days ago

This matchup between David Crosby and Willie Nelson, both having appeared in the info graphic The Bankruptcy Jukebox, turned into a surprising blowout.David Crosby's story focused on his greatest days in the 1960s and 1970s:David Crosby is a legendary member of The Byrds and super-group, Crosby, Stills, Nash & Young. Although he had earned -- and burned through -- around $25 million over the course of his career, by 1984, he was broke, in debt for hundreds of thousands of dollars, and on his way to prison for drug and weapons charges.  He filed for bankruptcy in 1985.  When he got out of jail, he lived in a friend's spare bedroom and wore his friend's old clothes.  Crosby righted his financial ship by getting back to work.Willie Nelson's fame continues to endure:



Posted 22 weeks 7 hours ago

In this first round match in the Exemptions Regional, NFL hitman Warren Sapp will face off against baseball star Curt Schilling. Sapp appeared in the infographic the NFL Bankruptcy Tailgate Party and this is his story:



Posted 22 weeks 1 day ago

 In this first round matchup in the Exemptions Regional, MC Hammer takes on Burt Reynolds.  Coincidentally, both of these stars filed their bankruptcy cases in 1996 after they had realized their greatest success. MC Hammer appeared in the infographic, The Bankruptcy Jukebox; this is his story:



Posted 22 weeks 2 days ago