intersection
when one area of legal practice is influenced by another area of law
A _________filing is often used by creditors to secure rights to collateral specified in secured financing agreements.
Uniform Commercial Code
Adversary Proceeding Complaint
The initiating document in an adversary proceeding. The plaintiff files a formal complaint with the court and has that complaint served on the defendant
conflict of interest
relationships or circumstances that compromise the duty of loyalty that attorneys and paralegals owe to their clients
conflicts check
a formal review of the law firm's client database to determine whether the firm has formerly or is currently representing a client whose interest may conflict with a potential new client
competency
an ethical rule that requires attorneys and paralegals to possess the knowledge, skill, preparation, and thoroughness to represent bankruptcy clients adequately
A __________ party in a bankruptcy case is someone who does not have any interest materially adverse to a creditor because of his or her association with the debtor
disinterested
confidentiality
an ethical rule that prohibits attorneys from disclosing information regarding the client's case to a third party unless the client consents or the attorney is required to do so under the law
attorney-client privilege
an ethical rule that prohibits an attorney from disclosing privileged information unless waived by the client, clearing the way for the attorney to discuss the contents of the communications with a third party
compensation
Payment for legal services. The rules of ethics require attorney compensation or fees to be reasonable and the attorney must provide an explanation to the client regarding the scope of representation and the basis of the fee
due diligence
the process of verifying the client's financial information
notice of non-representation
a disclosure statement that informs the client that the attorney-client relationship is not established until the client signs a retainer agreement and pays the attorney's fee
Chapter 7 bankruptcy filings remain on the Credit Report for __ years
10
Chapter 13 bankruptcy filings remain on the Creditor Report for ___ years
7
financial therapy industry
Professional mental health counselors specializing in assisting debts dealing with the emotionalism of being in financial distress and the accompanying problems they face
judgment proof
the inability of a creditor to obtain a judgment on a debt because the debtor has no property to attach or wages to garnish
debt settlement
a lump sum payment to the creditor, from 30% to 50% of the total debt, in satisfaction of the entire obligation
debt management agencies
nonprofit entitles that promise to negotiate a payment plan with creditors
debt consolidation
a bankruptcy alternative that requires the debtor to obtain a large loon to pay off existing debts
initial client interview
the bankruptcy client's first meeting with the attorney and his or her paralegal. It is when the attorney provides the client with legal advice; takes the initial steps to determine which bankruptcy chapter is appropriate, considering the client's circums
bankruptcy worksheet
a detailed questionnaire that guides the client in identifying the information necessary for the attorney to assess the client's finanical circumstance and determine the best course of action to take regarding the client's debt
debt relief agency
any person who provides any bankruptcy assistance to an assisted person in return for the payment of money or other valuable consideration, or who is a bankruptcy petition preparer
disclosure agreement or disclosure statement
a document that lists all the mandatory disclosures required by 11 U.S.C. Section 527, it includes information such as the financial details of the debtor's business, enough to allow the creditors to determine how their interests will be affected
retainer agreement
an agreement between an attorney or law firm and a client to provide the client with legal services
fixed or flat fee
a one time fee an attorney charges for filing the bankruptcy case and assisting the client through the bankruptcy administration process
payment plan
a fee arrangement that allows the client to pay the attorney in installments
hourly fee
an arrangement for the payment of legal fees by which a client is billed for every billable hour the attorney or paralegal spends working on the case
credit report
a detailed snapshot of an individual's financial history
credit repair organization
businesses that promise to repair a client's credit report for a fee
Credit Repair Organizations Act
A federal law passed in 1996 designated to protect the public from unfair or deceptive advertising and business practices by credit repair organizations
secured credit card
a credit card issued to an individual with poor credit; the cardholder provides the credit card company with a monetary deposit, which serves as a security similar to how a property owner collects a security deposit prior to leasing property to te lessee
fillable
electronic forms that may be completed online and saved for later use or to work on later
Committee Notes
Notes the Judicial Conference Advisory Committee on Rules of Bankruptcy Procedure creates to provide details of the changes in bankruptcy forms and the reasons for the revisions
Advisory Committee
A committee consisting of federal judges and bankruptcy attorneys that makes recommendations about bankruptcy rules, forms, and procedures
local bankruptcy rules
bankruptcy rules drafted by individual district courts, specifically for the administration and case management of bankruptcy matters in that particular court system
local bankruptcy forms
bankruptcy forms created by the individual district courts that may vary from one federal district to another
PACER
Public Access to Court Electronic Records, an internet based public access system that allows registered users to obtain basic case information docket information, opinions, and documents filed in federal appellate, district, and bankruptcy courts
e-filing
the electronic filing of legal pleadings and documents now implemented in many courts across the country
personally identifiable information
any information that can be used to identify a specific individual; it must be protected from public view, whether the information is filed electronically or in paper form
redacting
striking out confidential words, phrases, or numbers by blacking out the information with a marker or using computer software tat performs this process through electronic means
Fair Credit Reporting Act
A federal law that prohibits reporting inaccurate or incomplete information on the client's credit report
True/False: All lawsuits must be
disclosed
in bankruptcy. Intersections are disclosed.
TRUE
What are the rules which govern ethics?
Model Rules of Professional Conduct
True/False: If you helped Sam get divorced from Vicki. It would be a conflict of interest if you helped Vicki establish custody of the children.
TRUE
True/False: If you helped Sam get divorced from Vicki. It would be a conflict to help Vicki get divorced from Tom.
FALSE
Motions need to be in writing and include:
1) Notice of Motion, 2) Persuasive Memorandum, 3) Certificates of Service i. one for the motion ii. one for the Notice of Motion
Debtor could file a Motion to Dismiss (voluntarily) and is required to:
show 'just cause' such as an agreement between themselves and the creditor
True/False: Creditors will not be prejudiced from dismissal.
TRUE
Objection to a claim
A debtor says that the creditor is misrepresenting amount owed
Trustee can file a 'Motion for Abandonment which deals directly with a ______________
bankruptcy estate asset
______________________ on a piece of property is anything that affects the property such as neighborhood conveyances and taxes
Encumberance
True/False: A defendant has a right to request a jury trial in a bankruptcy proceeding.
TRUE
True/False: Adversarial Proceedings being with a motion which could by filed by the debtor, creditor, or trustee.
TRUE
True/False: You need not use the official bankruptcy forms found on the federal courts website.
FALSE
Benefits of PACER
1) No postage
2) Access at any time without going to courthouse
3) Can file at anytime without going to the courthouse
4) Clerks don't have to do extra work
5) Reduces paper files
True/False: Personal information is redacted by attorney, not usually accessible (Not Clerks' fault).
TRUE
Bankruptcy ____________ is a necessity in a firm that practices bankruptcy.
software
Preparing the Voluntary Petition:
1) forms are located on Federal Bankruptcy website
2) initial client information from the initial client interview will be used to fill out the petition
Schedules which are used to organize the petition are organized ______ though ______
A through J
Schedule A
real property
Schedule B
personal property
Schedule C
exempt property
Schedule D
secured property
Schedule E
unsecured priority claims
Schedule F
general unsecured claims
Schedule G
contracts/unexpired leases
Schedule H
codebtors
Schedule I
current income
Schedule J
current expenses
Statement of Financial Affairs
debtor lists any property transfers, wage garnishments, liens, etc.
True/False: A trustee could file a adversarial proceeding against the debtor for a fraudulent transfer
TRUE
True/False: A debtor could file an adversarial proceeding against a creditor who misrepresents amount owed to the creditor
TRUE