[WSBARP] Did I miss something? Bridge Program?!?!?!?
Kary Krismer
Krismer at comcast.net
Wed Jun 30 10:25:27 PDT 2021
On 6/30/2021 9:09 AM, Paul Neumiller wrote:
>
> This reminds of when the feds greatly revised the bankruptcy laws to
> make it harder to declare bankruptcy. The bankruptcy rules got so
> complicated, byzantine, and frustrating that many bankruptcy
> practitioners left the field. I’m getting phone calls from potential
> clients with units in other counties because they can’t find an
> attorney in their own county who wants to address this morass.
>
>
Having been one of the bankruptcy attorneys that left the field, I don't
think that description of what happened is quite accurate.
For me it was primarily two concerns. First, that automobile loans
would have to be reaffirmed or the car returned, with reaffirmation
requiring the attorney to attest that reaffirmation was not an undue
hardship. Having only reaffirmed one auto loan in my entire career
where the vehicle was modified for handicap use, I did not want that
repeated ethical dilemma. That was particularly true given the fact
that many auto loans are negotiated at auto dealers and hardly on the
best terms. Congress completely sold out on that one. Unfortunately
our state legislature had sold out several years earlier and did away
with statutory provisions preventing collection of a deficiency on such
loans. Banks are apparently very good at dishing out money to politicians.
Second was provisions allowing creditors to come after debtors'
attorneys personally, akin to CR 11, but on much looser standards.
Fortunately the courts pretty much shut that one down, but I did not
know that in advance.
As to others leaving, that was likely also due to a severe drop off in
case filings due to the press completely misrepresenting the effect of
the changes. Everyone and their brothers who even thought the word
bankruptcy filed before the new Act went into effect, whether they
needed to or not. There was a long dry spell in filings.
Kary L. Krismer
206 723-2148
-------------- next part --------------
An HTML attachment was scrubbed...
URL: <http://mailman.fsr.com/pipermail/wsbarp/attachments/20210630/846db28a/attachment.html>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image001.jpg
Type: image/jpeg
Size: 14264 bytes
Desc: not available
URL: <http://mailman.fsr.com/pipermail/wsbarp/attachments/20210630/846db28a/image001.jpg>
More information about the WSBARP
mailing list