Posted on Wednesday, May 8th, 2013 at 8:56 pm
When filing for Chapter 7 or Chapter 13 bankruptcy in Iowa, a person may be able to discharge, or get rid of, certain debts; however, there are also certain debts that cannot be discharged.
A person who files for bankruptcy is responsible for paying back debts that can’t be discharged. Such debts include those dedicated to family support, like child support and alimony obligations. Debts from personal injury or death caused by driving under the influence must also be paid, in addition to fines and penalties for violating the law, tax debts, and any other debts that a person forgot to list in their bankruptcy papers.
Discharging debts is a critical aspect of filing for bankruptcy in many cases. As such, it is extremely beneficial to understand what kind of debts you have that may be discharged. To better understand this facet of bankruptcy and discuss your debt options, call the lawyers of Hong Law, PLC, at (319) 632-1400.
Posted on Friday, April 26th, 2013 at 5:48 pm
Steven Brill, a concert promoter who left his job as a program director in Greater Des Moines radio business, has recently filed for bankruptcy protection in the U.S. Bankruptcy Court for the Southern District of Iowa in Des Moines.
According to the Chapter 7 bankruptcy filed on March 26 by Brill and his wife Deanna, they had unpaid bills to various country and rock music acts. The couple cited debts that were mostly business-related and reached $1.3 million, stating that they owed money to artists such as Adam Lambert and Joan Jett.
The couple declared $606,821 of assets in their West Des Moines residence, and rental and business properties in Indianapolis, Omaha, and St. Louis.
The bankruptcy filing said Brill now works as a special events director for the Arthritis Foundation in West Des Moines.
In many cases, filing for bankruptcy is the best option to get out of debt. Thus, if you are facing mounting debts, call (319) 632-1400 and learn more about the benefits of bankruptcy. Our legal team at Hong Law, PLC, can help you decide what steps to take next.
Posted on Wednesday, April 3rd, 2013 at 6:08 pm
A medical student from the University of Iowa met with Governor Terry Branstad the last week of march to promote a plan that would be geared towards helping ease the burden of student loan repayment after graduating from medical school.
27-year-old Shady Henien, a fourth-year medical student at UI Carver College of Medicine introduced a proposal to Gov. Branstad that would utilize private sector investors to finance student loans, decreasing the overall cost of attendance for medical students, which is typically over $150,000. After graduation, according to the plan, students will repay investors in a fixed amount for a predetermined period of time with a 3.4 percent interest rate. This interest rate is half of what medical students paying off federal loans currently face. To draw investors, Henien has proposed providing tax incentives.
Henien hopes to attract the strongest students to under served fields and areas without deterring them with the total cost of attendance of medical school.
While this plan could help many medical students if it was to be instated, the reality is that many former students, including those who were not medical students, currently face mounting financial burdens. While filing for bankruptcy cannot get rid of federal student loan debts, it can help alleviate many other financial burdens a person faces. Thus, if you are in such a situation and need financial assistance, call (319) 632-1400 to explore your options with a lawyer from Hong Law, PLC.
Posted on Wednesday, February 13th, 2013 at 10:35 pm
A long time Omaha-based Jewelry chain filed for bankruptcy and plans to close all of its nine stores, including a store in Des Moines, Iowa.
Brodkey’s Jewelers, which has been around since 1880, filed Chapter 11 recently, claiming its stores are under-performing, and in order to pay creditors, they need to liquidate and sell their assets. Brodkey’s assets are between $500,000 and $1 million while its debts are figured to be between $1 million and $10 million. According to court filings, Brodkey’s already had pending court approval to hold sales with a liquidation firm. Brodkey has eight stores in Nebraska and one in Iowa.
Brodkey’s was once cited as Retailer of the Year in 2006 by the Nebraska Retail Federation.
As a business, sometimes filing for Chapter 11 bankruptcy is the best way to reduce your financial obligations. Contact our bankruptcy lawyers at Hong Law, PLC, at (319) 632-1400 to discuss how Chapter 11 bankruptcy can benefit you.
Posted on Tuesday, January 15th, 2013 at 9:35 pm
Dozens of creditors stand to lose millions of dollars after a grain and feed company in Portsmouth, Iowa filed for bankruptcy.
The company, G&R Feed and Grain Co., filed for Chapter 7 bankruptcy in federal court earlier this month. About 60 creditors, mostly individuals from Shelby County, were listed as creditors in related court documents. At this time, debt estimates for the company are between $1 million and $10 million, while the company’s assets are estimated at $50,000.
A creditors meeting will take place next month on February 19th at 1 p.m.
If your company is facing bankruptcy, make sure that your rights and interests are protected throughout bankruptcy proceedings. Contact the experienced business bankruptcy lawyers of Hong Law, PLC, today by calling (319) 632-1400.
Posted on Friday, November 30th, 2012 at 4:54 pm
A123 Systems Inc, a developer of lithium ion batteries used in electric cars, filed for Chapter 11 bankruptcy protection in October, after receiving more than $245 million in grant money from the U.S. Department of Energy.
As is common in large business bankruptcies, the company will be auctioned off to the highest bidder to raise money to repay its debts to its creditors. A123 will be auctioned next month, and one of the most interested buyers is Chinese automotive parts supplier Wanxiang.
Many are greatly opposed to the foreign company’s potential purchase of taxpayer-funded A123. Opponents of foreign participation in this auction are concerned with the prospect of technology developed using taxpayer money being acquired by a foreign nation. Other companies interested in possibly placing a bid on A123 are Japan’s NEC Corp and Germany’s Siemens AG.
Some are fearful of the potential sale to a foreign agent as a matter of national security, since A123 had various military contracts and develops technologies that are important to the nation’s infrastructure. Still others are concerned with the economic impact of domestic jobs being moving overseas.
A123′s initial Chapter 11 filing included a plan for it to be purchased by Wisconsin’s Johnson Controls for $125 million, which would keep all of the company’s assets under U.S. control. That plan will continue unless another entity makes a higher bid at next month’s auction.
The U.S. government stated that any sale of A123 Systems will be subject to its approval. The government also reserves the right to demand compensation for any company assets that were funded by the clean energy grant.
While your business’ financial difficulties may not be a matter of national security, they are still important to us. If you feel like your business is drowning in unmanageable debt, a bankruptcy attorney from Hong Law, PLC, can show you the potential benefits of filing for Chapter 11 bankruptcy. Contact us at 319-632-1400 to learn more about how we can help.
Posted on Thursday, November 29th, 2012 at 5:08 pm
On November 5, the Hawaii-based company, Big Island Carbon LLC, filed the necessary paperwork in order to seek Chapter 7 bankruptcy protection. The company, which manufactures carbon from macadamia nut shells grown in Hawaii, has already laid off several employees, including the CEO of the company.
The U.S. Bankruptcy Court documents show that the COO and the Controller of Big Island Carbon LLC were also let go amidst the bankruptcy filing. The papers indicate that the Big Island Carbon project grew to be too expensive, and the funds and grants that were coming in were not enough to fuel the plant’s production. The plant is near completion, and needs approximately $5 million more to be considered finished.
A bankruptcy trustee that will be assigned to the Chapter 7 bankruptcy case of Big Island Carbon LLC will more than likely search for a buyer that is interested in the assets of the biomass plant. The buyer may also choose to finish the production of the plant in order to begin operations.
If you are considering filing for Chapter 7 bankruptcy for your small business, please contact the Chapter 7 bankruptcy lawyers of Hong Law, PLC by calling 319-632-1400 today.
Posted on Monday, November 26th, 2012 at 10:31 pm
Maryland homeowners living in areas affected by Hurricane Sandy will be getting foreclosure protection from the U.S. Department of Housing and Urban Development. Homes with Federal Housing Administration-insured mortgages will receive a 90-day delay on their foreclosure proceedings, the Baltimore Sun reports.
Other foreclosure relief and assistance for homeowners in Maryland are part of President Obama’s disaster declaration. The department will be offering Federal Housing Administration mortgage insurance to homeowners affected by the storm who are faced with rebuilding or searching for a new house. The insurance is aimed at protecting qualified disaster victims from defaulting on mortgage payments.
The FHA will also be providing loan insurance for those who will rebuild their homes. To qualify, the cost of repairs must exceed $5,000. The HUD is offering loans to state and local governments to repair public infrastructure, housing rehabilitation, and economic development. Maryland will also be able to redirect certain federal resources to disaster relief if necessary.
If your home is facing foreclosure, it is important to contact an experienced bankruptcy attorney who can help you explain your legal rights and options. Together, you can work to decide which option is best for you and your unique situation.
Posted on Monday, November 19th, 2012 at 5:01 pm
On Friday, Hostess Brands sought the approval of a bankruptcy court to shut down its operations entirely. The company’s decision to close its bakeries and distribution centers came after a national strike of Hostess bakers. The company announced that if the bakers did not return to work on Friday, that it would have no other choice but to close down the company for good.
As a result of the closing, approximately 18,500 Hostess employees will lose their jobs. The company will close 33 bakeries across the country, and an additional 565 distribution centers. Hostess outlet stores are also affected by the closing, and 570 of these stores will shut their doors. Hostess has plans to sell all of its assets to the company that places the highest bid.
Hostess believes that several companies will be interested in some of their iconic brands, including Twinkies, Wonder Bread, and Drake’s Devil Dogs. These brands have the potential to be produced at a new company with a different product line. The bankruptcy filing was made in January, and that was the second time that Hostess filed for bankruptcy protection since 2004.
If your company is facing financial hardships, and you are considering bankruptcy, you need an experienced bankruptcy attorney on your side to help you through this complex process. Please contact the bankruptcy lawyers of Hong Law, PLC by calling 319-623-1400 today.
Posted on Thursday, November 15th, 2012 at 10:14 pm
Arkansas’ head football coach John L. Smith, who filed for Chapter 7 bankruptcy in September, could be facing more legal problems after a creditor has called Smith’s finances into question. The coach listed $40 million in debt when he filed for bankruptcy protection, with approximately $600,000 owed to the suspicious creditor, RL BB Acquisition.
Under federal law, all money made after an individual files for bankruptcy is kept by the individual, while all money made before the filing is divided among creditors. According to USA Today, Smith arranged to have most of his $850,000 salary backloaded until after the football season was over, which would allow him to keep this money since he would have technically earned it after filing.
RL BB Acquisitions has asked the bankruptcy court for an extension on the case so it can challenge Smith’s financial exemptions. With the exemptions, the coach able to report that he made only $19,800 a month in gross monthly income instead of more than $70,000. Smith’s financial problems stem from real estate deals that backfired when the market crashed.
If you are struggling with your personal finances and are considering filing for bankruptcy, an experienced bankruptcy attorney can inform you of your legal options. To learn if Chapter 7 bankruptcy is right for you, contact the legal team at Hong Law, PLC at 319-632-1400.