Bankruptcy Law Blog

During strong economic times, Americans are able to rely on cash to make purchases. But in tougher economic times, like now for most Americans, families turn to credit cards for more purchases to get by. This increased credit card use can lead to a substantial increase in credit card debt. A recent study by TransUnion,…

Businesses in Sacramento and elsewhere are successful due to many parts working together simultaneously. When the economy is struggling, it is even more essential for a business to have all its pieces working in harmony. But if one part stops working, then the business may choose to file for business bankruptcy. Hostess Brands Inc. is…

The recent recession has forced many individuals, especially students, to turn to credit cards to pay for every day necessities. This has led to an increase in both credit card debt and student loan debt. According to the Federal Reserve, in September, consumer borrowing rose to $11.4 billion, and total consumer debt rose to $2.74…

Today’s economy has made many basic necessities for Americans much more difficult to afford. One payment that many Americans have fallen behind on in the wake of the recent recession is their mortgage payments. Falling behind in mortgage payments can lead to foreclosure proceedings, which can lead to the homeowner losing their home. One way…

Ponzi schemes have allowed individuals to amass large amounts of money by swindling others. Fortunately, many of these individuals get caught. But one individual who was charged with fraud and bribery in relation to a ponzi scheme recently filed for Chapter 7 bankruptcy in Sacramento, California. The individual conned $20 million out of an Indian…

Owning a home is the dream of many American families. For most families, a mortgage is necessary to achieve that dream. However, a mortgage is still a debt that, in difficult financial times, can put families in significant financial hardship. This can lead to the need for debt relief to try to save their home…

The recent economic downturn has affected all different kinds of industries, from agriculture to manufacturing. One California poultry farm has recently chosen to file for bankruptcy to pay off creditors. Zacky Farms LLC owes creditors close to $100 million. Zacky points to the dramatically rising feed costs and heavy debt as the reasons for filing.…

Credit cards can be an easy way to make purchases when one is short on cash. These economic times have led families to put more on credit cards and take on more credit card debt. But excessive use of credit cards can lead to unmanageable levels of credit card debt. And, unlike cash, a balance…

The recent economic downturn has forced many businesses to make tough decisions. Many turned to business bankruptcy to keep their companies afloat. Pacific Ethanol Inc. was among those companies which chose a business reorganization in bankruptcy court as a way to get through a tough time. Pacific filed for bankruptcy in 2009 and is in…

This period of economic downturn has affected many different financial aspects of businesses. An increasing number of business bankruptcies have affected employee protections such as pensions due to the protections granted to businesses in bankruptcy. The California legislature and Governor Brown recently passed public pension reform that was careful not to affect any current or…