It seems I am asked every day in my work as a bankruptcy lawyer, “When will my bankruptcy case be filed?”
I understand the reason for the question, even if I have explained how the filing process works to my client already. As time passes from the initial meeting with me, it is natural for my client to become impatient, to forget everything that was explained at the first meeting, and really, who wants to re-read the material I hand out to my clients at the first meeting explaining how the process works and when the case will be filed?
The fact is, the answer to the question is not the same for every case.
There are reasons why I may advise a client to intentionally delay filing his or her bankruptcy case so that a successful outcome can be reached. Specifically, if there is a timing issue with regard to discharging IRS debtor “passing” the means test, it may not be in my client’s best interest to file the case as quickly as he or she would like.
That being said, in the majority of cases, the issue of when to file the case is really settled by my client doing two things:
-Providing me the information I need to complete the Petition, and
-Paying the fee.
That’s it.
At the first meeting with my client, I will evaluate the case and describe in detail exactly what information the client must provide to me before I can fully prepare the bankruptcy Petition and I will explain if there is a reason to delay filing bankruptcy. Generally, the faster the client gives me the information requested, the faster I can have the case prepared. It also helps when the client provides ALL of the information requested.
So, what am I looking for?
In most cases, the following items are requested:
-6 months of pay stubs covering the time immediately before filing bankruptcy,
-6 months of bank statements covering the time immediately before filing bankruptcy,
-3 years of tax returns covering the time immediately before filing bankruptcy,
-Copies of vehicle titles/registrations,
-Copies of lawsuits filed against you by creditors,
-Drivers License and Social Security Cards, and
-Completion of Credit Counseling Course.
This list may be different if your case is more complicated, if you own your own business, are unemployed, are not required to file tax returns, or are receiving social security income or disability incopme but generally these items are required in every bankruptcy case.
Secondly, a client must pay my attorney fee and court filing fee in full before his case is filed.
I like to get paid for the work I do, but besides that, the bankruptcy law has a problem with me representing a debtor in bankruptcy at the same time the debtor owes me money for legal services. If you really think about it, there is a big conflict of interest there.
In Chapter 7 cases, this means paying all fees charged prior to filing the case.
In Chapter 13 cases, I routinely provide for payment of the majority of my legal fees to be made by my client in his Chapter 13 plan. Any portion of my fee that I charge prior to filing the case must be paid in full before the case is filed.
So, if you want to know when your bankruptcy case will be filed, make sure you have provided all requested information to me, and make sure you have paid the fee I charge you in full.
Then, so long as there is not a legal reason to delay the filing of your case, your case will be filed.
photo credit: backseatstreet
