What Does a Bankruptcy Lawyer do?
Bankruptcy Attorneys are lawyers who specialize in Bankruptcy law. Skilled in this area of law, they work with those individuals and companies who believe that declaring bankruptcy is in their best interests. It is a bankruptcy attorney’s responsibility to make sure that everything proceeds smoothly and in compliance with bankruptcy laws. Because every bankruptcy case is different and many steps are involved, bankruptcy attorneys, as professionals in the field, are best equipped for navigating the myriad channels.
Declaring Bankruptcy
Bankruptcy involves more than merely saying, “Oh well, I owe more than I can pay back, so I hereby declare bankruptcy.” Bankruptcy laws have changed considerably in recent years, and the tightening of these regulations makes it harder to file for bankruptcy. Because there are six different chapters in which to file, a bankruptcy attorney helps the client decide which is best. There are two main types of personal bankruptcy, chapter 7 and chapter 13, and each has its own unique circumstances and procedures to follow. Once a decision has been made, the attorney then begins the process. He or she will assemble the necessary documents and paperwork to justify the clients claim and the validity of the filing. Proof of income, client debt, spending and banking information, and assets are just part of the information that is collected and analyzed.
Responsibilities of a Bankruptcy Attorney
Bankruptcy attorneys guide their clients through all other necessary steps and procedures. They and their client will meet with the client’s creditors. They will also work with the bankruptcy court to make sure the client understands exactly what bankruptcy is and the options available and with the courts to try to develop a payment schedule, if possible, rather than liquidate assets.
The guidance and advice of a bankruptcy attorney also assures the client that all details have been covered so that once a decision is handed down, there are no surprises. Because of the difficulty of filing for bankruptcy and because, in most cases, a person can only file for bankruptcy once, it is imperative that everything is handled correctly. If an individual handles his or her own bankruptcy, they are responsible for all oversights. It is within the realm of the bankruptcy attorney’s expertise to be sure there are no problems, and when a bankruptcy attorney is hired, the responsibilities, and, the limits of those responsibilities, will be expressed in the contract.