Real estate developers often use favorable markets to obtain financing to build and sell their projects. Unhappily, bull markets do not last forever, and when a market cools, developers and investors are often left wondering what happened -- and what to do next. Filing a lawsuit or a business bankruptcy petition is often the next step.
People in Rockland County who may be contemplating filing a petition in bankruptcy court will want to know who will be controlling their fate after they file a petition. Most people realize that the bankruptcy judge will have the final say over whether and how their debts are paid, but very few people are aware of an official called the bankruptcy trustee and the trustee's role in the bankruptcy process.
Virtually every credit card contract issued in Rockland County and throughout the country contains a binding arbitration clause. These clauses require all disputes between the card holder and card issuer to be resolved in a binding arbitration proceeding. The Second Circuit Court of Appeals was recently faced with a case in which a card holder attempted to escape the arbitration clause in a credit card agreement after he had won the discharge of the credit card debt in a Chapter 7 proceeding.
When a resident of Rockland County contemplates filing a bankruptcy petition, one of the first questions asked is whether creditors can seize the person's residence, automobiles, retirement plans or other assets. In most cases, debtors will not be required to surrender their personal assets in a Chapter 7 bankruptcy proceeding. Assets subject to this protection are generally called "exemptions." The rules governing the designation of exempt assets are complex, but this post will provide a useful overview.