《楊清泉律師專欄》IS TONI BRAXTON’S CHAPTER 7 CASE PRESUMPTIVELY ABUSIVE? (Part I)

Under the worst situation, if Ms. Braxton cannot successfully oppose a motion to dismiss based on the presumption of abuse in her case, she has the option of converting her chapter 7 case into chapter 11 where a portion of her debt can be repaid over 5 years. She may end up paying 10% of her unsecured debt over 5 years. This would still be a large amount even for Ms. Braxton because 10% of $10 to $50 million is $1 to $5 million. Even a $1 million repayment over 5 years would require $166,000 a month for 60 months. One issue in playboy certainly would not be enough to provide enough income to fund these payments. On the other hand, if she is fortunate enough to stay on a Chapter 7, she may have to resort to selling assets to pay tax liens.

Lawrence Bautista Yang is a graduate of Georgetown University Law Center and has been in law practice for thirty years. He specializes in bankruptcy, business and civil litigation and has handled more than four thousand successful bankruptcy cases in California. He speaks Mandarin and Fujien and looks forward to discussing your case with you personally. Please call (626) 284-1142 for an appointment at 1000 S Fremont Ave Bldg A-1 Suite 1125 Unit 58 Alhambra, CA 91803.