Well, it turns out that, the Oscars might not, after all, be at Kodak Theater this year. This is because Eastman Kodak Co. has petitioned a U.S. Bankruptcy Court to have the Kodak moniker removed from the Oscars venue, reports Variety.
]]> Kodak's Oscars naming rights were expensive, negotiated back in 2000, when the company inked a $75 million deal. The Chapter 11 bankruptcy, however, means that even big-time sponsorships like being associated with the Oscars, should face the chopping block.The goal of filing for Chapter 11 bankruptcy protection, versus Chapter 7, is to become profitable. To achieve this goal, the debtor's first move is to renegotiate leases and contracts and either have debts discharged or partially repay them. Creditors have an incentive to work with the debtor and make compromises, since they generally would not get better terms in a Chapter 7 action.
A reorganization plan puts creditors into different classes with respect to how their claims are handled. The creditors with first priority for repayment include state and federal tax agencies, employees owed wages and stockholder interests; they are each put into their own class.
Each secured creditor also is placed in its own class, while unsecured claims are placed together in one class. The plan may modify the amounts and terms for repayment of debts to these creditors. A reorganization plan must be voted on by creditors and approved by the court.
Every company's reorganization doesn't lead to losing iconic sponsorships, but as one of the most recognizable brands in the world, Kodak's moniker's never has been just any old name.
Related Resources:
Aydin and Company Jewelers just gained access to Iverson’s Wells Fargo account in an attempt to recoup the hundreds of thousands Iverson still owed on the jewelry that he had purchased in 2008 and 2009. Allen Iverson’s jewelry included diamond bracelets, a diamond watch, and a ring.
]]> Of course, it all might be for naught for Aydin and Company, because they don't know if Iverson actually has any money in that account. Iverson apparently made $154 million during the course of his time in the NBA, reports the AJC.A wage garnishment is any legal or equitable procedure through which some portion of a person's earnings is required to be withheld by an employer for the payment of a debt. Most garnishments are made by court order. Other types of legal or equitable procedures for garnishment include IRS or state tax collection agency levies for unpaid taxes and federal agency administrative garnishments for non-tax debts owed the federal government.
There is also a link between wage garnishment and bankruptcy. Turns out that states which allow debt collectors to go after a person's wages in their collection efforts actually have higher bankruptcy rates than states which prohibit or set limits on that collection tool.
For more information on wage garnishment please see below. Note, that while you will be able to find a bankruptcy attorney below, you won't find any pictures of Allen Iverson's jewelry.
Related Resources:
In the Standard & Poor/Case Shiller Index, home prices were down in 19 out of the 20 cities and steepest decline was in Atlanta. In fact, home prices in Atlanta are at their lowest since the housing crisis began.
Home prices in Atlanta are back to 2003 levels.
]]> The Case Shiller Index covers about half of all U.S. homes and it tends to measure prices now with those in January 2000 to create a three-month moving average.Low home prices mean that those people who wanted to sell their house and get out of their mortgage burden won’t be able to get out so easily. And they would have to keep making the mortgage payments they perhaps can no longer afford.
Generally speaking it takes a long time to process a foreclosure. Around the nation some homeowners can go as long as two years without making a payment, notes FindLaw’s Atlanta Bankruptcy Law News.
But if those two years are not enough, you might consider filing for a bankruptcy to delay a foreclosure further.
Once you file for bankruptcy, an automatic stay usually kicks in and protects you from your creditors and bill collectors for some time. The automatic stay stops any lawsuit that is filed against you by a creditor, collection agency, government entity or other person seeking money from you. The automatic stay from a bankruptcy filing can be a powerful tool that you should seriously consider if you are one of those who have suffered from the drop in home prices in Atlanta and seeking to delay a foreclosure.
Related Resources:
The iconic bookstore in Midtown, had been facing financial difficulties for some time. Owner Philip Rafshoon tried to keep the store going longer, but ultimately was not successful.
In an outgoing email Rafshoon wrote:
]]> The bookstore had special significance to the LGBT community, hosting numerous gay and lesbian stars, as well as those that were friendly to the community. Some of the recent Outwrite authors included RuPaul, Star Jones, and CNN's Don Lemon."Thanks to all of you who made Outwrite the special place it has been over the past 18 years. Thank you to all who came in on a regular basis, showing your commitment to supporting independent, local businesses. And thank you to all of the authors, poets, artists, musicians, volunteers, and activists, who have entertained, educated and energized us."
Once Outwrite is closed it will file for bankruptcy, reports the Georgia Voice.
Assuming that Outwrite is a sole proprietorship, the bookstore bankruptcy could be a Chapter 7 or Chapter 13. Either of these options can be used to satisfy and wipe out personal and business debts.
Given that the store is shut down, Rafshoon may file for Chapter 7 bankruptcy, assuming he qualifies. Under this type of bankruptcy, a bankruptcy trustee will liquidate, or sell off, all the eligible property in order to satisfy Outwrite's personal debts, including those that were taken on behalf of the business. At the end of the bankruptcy process (the liquidation of the personal property), the debts may be wiped out by the discharging of the bankruptcy.
For more information about Chapter 7 bankruptcy, please see below.
Related Resources:
The move has special significance because of the impact on a possible deal between America’s mortgage servicers and the states’ attorneys general.
With all of this tumult in the mortgage industry, many people still struggling to figure out their mortgage situation will be wondering how long it takes to process a foreclosure.
The answer, according to CNN Money, might surprise you:
]]> Nationwide, the average time it takes to process a foreclosure -- from the first missed payment to the final foreclosure auction -- has climbed to 674 days from 253 days just four years ago, according to LPS Applied Analytics.
In fact, around the nation, about 40% of homeowners in default have not made a payment in at least two years. That could even be long enough for a mortgage crisis unit to get formed and possibly come to your assistance.
Another way to fight a foreclosure -- at least to slow it down -- is to use a bankruptcy.
Once you file for bankruptcy, an automatic stay usually kicks in and protects you from your creditors and bill collectors for some time. The automatic stay stops any lawsuit that is filed against you by a creditor, collection agency, government entity or other person seeking money from you. The automatic stay can be a powerful tool that you should seriously consider if you are one of those who are part of Georgia's high foreclosure statistics.
However, even if your home is under threat, you should not just file a bankruptcy willy-nilly, as there are numerous standards that you have to meet. And a judge may not accept your application if it is not prepared correctly. The best thing to do would be to speak to a local attorney about your situation and really learn if bankruptcy is the right tool for you.
Related Resources:
The long-time broadcaster will now be working as a weekend weather forecaster for CBS Atlanta. He will be on regularly at 6 and 11 pm, both Saturday and Sunday.
Not only is this a good media story in Atlanta about a local celebrity, but also has a helpful bankruptcy component to it. It turns out that Paul Ossmann went through a Chapter 7 Bankruptcy, which was discharged last October.
]]> Paul Ossmann's bankruptcy was memorable to some people because it showed that he had $83,535 in credit card debt and negative monthly flow, despite his annual income of about $225,000, reported the Atlanta Journal-Constitution at the time.But now he's back on TV and doing well again, which may show some people that a Chapter 7 bankruptcy might be useful and positive in certain circumstances.
Statistically speaking, Chapter 7 bankruptcies are quite popular. In 2011, nearly 70 percent of all bankruptcy filings were Chapter 7, as noted by FindLaw's Atlanta Bankruptcy Law Blog. Paul Ossmann's bankruptcy, then, is among the majority.
This is a type of bankruptcy that allows an individual to be discharged from most of his or her debts if they pass certain qualifying "tests." It is also equivalent of a liquidation.
If you'd like to learn more about how to go about filing a Chapter 7, you should try and consult with an attorney. There are certain qualifications that the bankruptcy code requires you meet before you can apply. Otherwise, your petition may be refused.
Related Resources:
In total, there were about 1.4 million bankruptcy filings last year, according to the University of Illinois College of Law.
Most of the filings -- nearly 70 percent -- were Chapter 7. This is a type of bankruptcy that allows an individual to avoid repaying his or her debts if they pass certain qualifying "tests." It is also equivalent of a liquidation.
]]> One-third of the bankruptcies were Chapter 13, which also are for individuals. In these bankruptcies, a person sets up a repayment plan and pays off one’s debts over three to five years.Returning to the statistics, the daily bankruptcy rate in December was 4,585. That means nearly 5000 Americans every day file for bankruptcy.
What will be the future trend of the daily bankruptcy rate? The Federal Reserve is saying that consumer borrowing rose in November, reports The Times.
What the 2011 bankruptcy statistics also highlight is the fact that people should be more familiar with both Chapter 7 and Chapter 13 bankruptcies. Generally, people pay more attention to Chapter 11 bankruptcies, because they are big and massive and often take down some iconic company.
Yet, the kind of bankruptcies that hit home for people are not Chapter 11 at all. If you are considering bankruptcy, or if you’ve never considered bankruptcy but think that you should, you may wish to speak to a local bankruptcy attorney.
Do keep in mind that if student loans are the reason you want to file a bankruptcy, then you are largely out of luck. Though only an attorney can best evaluate your individual case.
Related Resources:
A big part of Young Buck's financial difficulties is a contract dispute with the record label run by rapper 50 Cent, as noted by FindLaw's Celebrity Justice Blog.
]]> Young Buck's case was converted from a Chapter 11 reorganization to a Chapter 7 liquidation on order from a judge, reports the Los Angeles Times.Some people might be wondering how it was that rapper Young Buck's bankruptcy was a Chapter 11 to begin with. Isn't a Chapter 11 bankruptcy for companies?
Well, it turns out that in some rare instances individuals can file for Chapter 11. Since a Chapter 11 is called a reorganization, it means that the plan the individual or company going bankrupt offers must be viable. If a court determines that it is not viable or has little chance of success then the Chapter 11 may be converted into Chapter 7, as happened in Young Buck's bankruptcy.
The controversy of Young Buck's trademarked name plays into his bankruptcy, because if he is forced to part with his name, it would get in the way of him being able to sign a new deal with a new label. They might not want to take on a famous rapper that did not have his famous name on him. (Although one wonders what would happen if Young Buck started using a baby deer as a symbol).
In any event, as difficult an industry as contemporary hip-hop is, it is important to note that rappers also face questions of bankruptcy. Studying what they do might be able to help the average person with their own bankruptcy. This is one area where rappers do actually make good role-models.
David Darnell Brown's next hearing is on January 30.
Related Resources:
Under the revised schedule for bankruptcy records, all bankruptcy dockets and opinions until 2009 will get sorted in all sorts of complicated ways. But the most interesting part is your chance to have a historic bankruptcy.
]]> Court officials retain the ability to designate any case or adversary proceeding files as historic, based on the court's judicial perspective, and those cases will be retained and stored. Historically designated cases might involve a lawyer, litigant, or witness of historical importance; an issue of historical interest; a matter of national interest separate from the issues in the litigation; or have received substantial media attention at the time.Yes, so that is your chance of being immortalized -- through a bankruptcy no less! Currently, the experts are only evaluating the dockets until 2009. But obviously if you have a bankruptcy going forward, you may get your chance again the next time the bankruptcy experts meet.
Other interesting facts include the fact that there are 1.1 million boxes of bankruptcy cases stored at the Federal Records Center. Storing these babies costs $6.2 million a year. Archiving these boxes would save about $2 million a year.
The archive will also retain all Chapter 12 Fishermen and Farmers cases. No doubt you were worried about that mysterious Chapter 12.
Most people don't realize that bankruptcy, like any legal area, provides jobs to an entire assortment of industries. Now that group of people that benefit from your bankruptcy also includes historians.
So, if you would like to help a PhD out, evidently, one way to do is to declare a bankruptcy.
Related Resources:
The purveyors of the cream-filled fantasy are based in Irving, Texas, and employ roughly 19,000 people, while carrying nearly a billion dollars in debt. The debt persists despite nearly $2.5 billion in sales. The reason is that all the good stuff that goes into those delicious morsels of heavenly manna with no nutritional value is costly (as divine foods should be). What is not so divine? Those lackluster sales.
]]> Since Hostess has already filed for bankruptcy once before, it will be doing what is called in bankruptcy parlance, a Chapter 22. (In other words, Chapter 11 times two.)The first Chapter 11 for Hostess, back when it was known by the exciting name, Interstate Bakeries Corp, was in 2004. Interstate had been around since 1930.
Chapter 11 bankruptcy is intended primarily for the reorganization of businesses with heavy debt burdens (like for instance, a billion dollars). Although it’s uncommon, consumers may file for Chapter 11 in some rare instances. Chapter 11 allows the debtor to propose a plan for profitability post-bankruptcy, which may include trimming costs and seeking new sources of revenue or income, while temporarily holding creditors at bay.
In contrast, Chapter 7 bankruptcy (often referred to as a liquidation) involves the closure of the debtor business and the sale of liquid assets to repay creditors.
As it is being currently reported, Hostess is desperate to avoid Chapter 7. And no, if after going Chapter 22, you go Chapter 7, that doesn’t make it Chapter 29 (though maybe it should be called that just to keep Atlanta bankruptcy attorneys on their toes).
And just in case some of you out there were worried your Twinkies might be taken from your sticky, moist hands; that won’t happen just yet. According to the Hostess_Snacks Twitter feed: “Don’t worry, we’re still making Twinkies, and plan to do so for the foreseeable future. Hope you’ll continue to enjoy them!”
Um, yeaahh, we will.
Related Resources:
The New Birth Christian Academy, which had operated for 18 years inside New Birth Missionary Baptist Church, is no more. Tuition ranged from $5,725 for New Birth members to about $6,000 for non-members with more than $1,000 in non-refundable fees, reports NewsOne.
]]> DeKalb Public School is willing to absorb the students, though based on news stories, it didn’t appear that the parents were eager for their children to attend public school.The Eddie Long school shut down comes at the heels of an odd divorce between Eddie Long and his wife, Vanessa Long, as discussed by FindLaw’s Atlanta Family Law News Blog.
While news reports say the school is closing its doors due to financial struggles and does hope to re-open at some point, it is not yet clear whether a declaration of bankruptcy will be part of the plan. However, a religious school, generally, is registered as a 501(c)(3)
A 501(c)(3) non-profit bankruptcy in Atlanta works much in the same way as a regular bankruptcy, so that Chapter 7 (liquidation) and Chapter 11 are both available. Chapter 13 is not really applicable in this type of situation and is mostly applied to individuals with steady incomes.
In a non-profit bankruptcy in Atlanta, some of the same determinations that go into a corporate bankruptcy will have to be taken into account. Can the “business” recover if it refinances and/or reorganizes? Are there any funds owed? Questions of that sort.
However, there is also likely to be complications when a 501(c)(3) bankruptcy takes place, because of the charitable and non-profit nature of the venture. The basic rule that you should definitely consider an attorney when an institution is involved probably still holds.
Related Resources:
The explanation for why mortgage rates are lower is because "they tend to track the yield on the 10-year Treasury note, reports the AJC. It is not as important to understand what that means as to note it.
Of course, just because the financing is good these days doesn't mean that people are buying. In fact, until recently, Georgia's foreclosure rates have been quite high, beating most of the country.
]]> So in this foreclosure climate is it nice to see a low finance rate? It is, but there is a lot of other information that would be useful to someone facing a foreclosure.Like, for example, how to survive a foreclosure. One way to fight a foreclosure — at least to stall it — is to use a bankruptcy.
Once you file for bankruptcy, an automatic stay usually kicks in and protects you from your creditors and bill collectors for some time. The automatic stay stops any lawsuit that is filed against you by a creditor, collection agency, government entity or other person seeking money from you. The automatic stay can be a powerful tool that you should seriously consider if you are one of those who are part of Georgia’s high foreclosure statistics.
You should not just file a bankruptcy willy-nilly, as there are numerous standards that you have to meet. And a judge may not like your application if it is not prepared well. The best thing to do would be to speak to a local attorney about your situation.
Related Resources:
The model for having online chats with a bankruptcy court comes from retailers in the private sector, who often allow their customers to talk live with someone, just through the website. Now, bankruptcy courts in New Mexico, Nevada, and Arizona are all using the feature.
]]> The feature is meant to be of significant assistance to paralegals and legal support staff. But one important group of lawyers that will benefit from it include real estate lawyers.What do real estate lawyers have to do with a bankruptcy court? Well, its a one-word answer and starts with F: Foreclosures.
A bankruptcy is considered one of the most imaginative ways of trying to forestall a foreclosure. Once you file for bankruptcy, an automatic stay usually kicks in and protects you from your creditors and bill collectors.
The automatic stay stops any lawsuit that is filed against you by a creditor, collection agency, government entity or other person seeking money from you. The automatic stay can be a powerful tool that you should seriously consider if you are in trouble.
With the rise in foreclosures during the economic recession, sometimes it will be real estate attorneys that will have to jump in during the bankruptcy proceedings. Now they might find it easier to navigate the bankruptcy system. Of course, the best thing to do is to find an experienced bankruptcy attorney; who probably know their way around the bankruptcy code without any assistance.
Related Resources:
Sears Holdings has 11 Sears in Atlanta, and 10 Kmart stores, reports the Biz Journal. There is a Sears department store in Athens as well.
The final list for the closed stores will be posted on http://www.searsmedia.com, reports the Associated Press. A hop over to the website shows that the list of closed Sears and Kmart stores is not yet up.
]]> However, a look at the closed Sears and Kmart stores for the second quarter of 2011, shows that Georgia stores were included among those that were closed. As such, there is a likelihood that more Georgia and metro Atlanta stores will be closing as a result of this announcement. In total, there are more than 4,000 Sears and Kmart stores in the U.S. and Canada.The Sears Holding effort is aimed at reducing losses and increasing profitability, particular as the holiday season from Thanksgiving on was not as successful.
Fans of what is one of America's oldest retail companies will be hopeful that the Sears and Kmart closing will help keep the company afloat, even successful.
If not, Sears could be looking at a potential Chapter 11 bankruptcy.
Available to companies and small business, a Chapter 11 Bankruptcy understands the fluid nature of a business enterprise. Instead of forcing an immediate liquidation (as would be the case in a Chapter 7), a Chapter 11 Bankruptcy asks the company to try and rearrange its debts and obligations, as well as to consider restructuring, and reorganizing.
Chapter 11 allows the debtor to propose a plan for profitability post-bankruptcy, which may include trimming costs and seeking new sources of revenue or income, while temporarily holding creditors at bay.
For more information please see the resources below.
Related Resources:
The 25-year-old from Lithonia was involved with credit and debit card skimming devices, which he then gave to waitresses who used them to obtain credit and debit card info from unsuspecting customers. Mr. Lewis' work wasn't done then. He then used a re-encoding device to turn the money into counterfeit credit and debit cards.
]]> Lewis was an honors student and his mother is a professor at Spellman College in Atlanta, reports Red and Black.The case was broken when Lewis was pulled over at a traffic stop by the Tennessee Highway Patrol. Eventually the Secret Service got involved in the investigation.
It is unclear why Mr. Lewis was engaged in credit card fraud or using debit card skimming devices when he, conceivably, had a good future awaiting him in academia or research.
With the amount of technology available to today's identity thieves, protecting one's finances requires greater vigilance. This is particularly important because having one's finances hijacked could lead to a staggering injury to one's credit history and credit score. The researchers at FindLaw recommend various tips to protect one's identity. This includes shredding all of one's documents; protecting one's outgoing mail; keeping one's social security number concealed; and protecting your computer.
And, as Carlton Lewis' case makes clear, being vigilant about possible credit card and debit card skimming is just another form of vigilance.
For more information about identity theft please see below or speak to an attorney informed about these matters.
Related Resources: