21 Jul Business Law
Chapter 15: Creditors’ Rights and Bankruptcy – Chapter 15 – Journal Entry
Do not copy answers directly from the book or cut and paste from a site on the web.
Using **any** kind of Wiki, including Wikipedia, is not appropriate.
Please do your own work, in your own words, and use proper grammar and spelling, too.
Upload your journal entry to the drop box.
CREDITORS’ RIGHTS AND BANKRUPTCY (page 463)
Three months ago, Janet Hart’s husband of twenty years died of cancer. Although he had medical insurance, he left Janet with outstanding medical bills of more than $50,000. Janet has worked at the local library for the past ten years, earning $1,700 per month. Since her husband’s death, Janet also receives $1,500 in Social Security benefits, and $1,100 in life insurance proceeds every month, giving her a monthly income of $4,300. After she pays the mortgage payment of $1,500, and the amounts due on other debts each month, Janet barely has enough left over to buy groceries for her family (she has two teenage daughters at home). She decides to file for Chapter 7 bankruptcy, hoping for a fresh start.
Answer the following questions, using the information presented in the chapter.
- Under the Bankruptcy Code after the enactment of the 2005 revisions, what must Janet do prior to filing a petition for relief under Chapter 7?
2. How much time does Janet have after filing the bankruptcy petition to submit the required schedules? What happens if Janet does not meet the deadline?
- Assume that Janet files a petition under Chapter 7. Further assume that the median family income in the state in which Janet lives is $49,300. What steps would a court take to determine whether Janet’s petition is presumed to be “substantial abuse” under the means test?
- Suppose that the court determines that no presumption of substantial abuse applies in Janet’s case. Nevertheless, the court finds that Janet does have the ability to pay a portion of the amount due on the medical bills out of her disposable income. What would the court likely order in that situation?
FOR TWO POINTS EXTRA CREDIT:
Rather than being allowed to file Chapter 7 bankruptcy petitions, individuals and couples should always be forced to make an effort to pay off their debts through Chapter 13. Do you agree or disagree and why?
Our website has a team of professional writers who can help you write any of your homework. They will write your papers from scratch. We also have a team of editors just to make sure all papers are of HIGH QUALITY & PLAGIARISM FREE. To make an Order you only need to click Ask A Question and we will direct you to our Order Page at WriteDemy. Then fill Our Order Form with all your assignment instructions. Select your deadline and pay for your paper. You will get it few hours before your set deadline.
Fill in all the assignment paper details that are required in the order form with the standard information being the page count, deadline, academic level and type of paper. It is advisable to have this information at hand so that you can quickly fill in the necessary information needed in the form for the essay writer to be immediately assigned to your writing project. Make payment for the custom essay order to enable us to assign a suitable writer to your order. Payments are made through Paypal on a secured billing page. Finally, sit back and relax.
About Writedemy
We are a professional paper writing website. If you have searched a question and bumped into our website just know you are in the right place to get help in your coursework. We offer HIGH QUALITY & PLAGIARISM FREE Papers.
How It Works
To make an Order you only need to click on “Order Now” and we will direct you to our Order Page. Fill Our Order Form with all your assignment instructions. Select your deadline and pay for your paper. You will get it few hours before your set deadline.
Are there Discounts?
All new clients are eligible for 20% off in their first Order. Our payment method is safe and secure.