Legal Question in Bankruptcy in California

I am self-employed and considering a Chapter 7. I got over extended around 2007/2008 and also had to sue the seller of the home I purchased. Spent thousands on attorneys fees while at the same time the job market wasnt so hot.

Is it best to wait a few months and not deposit anything into my bank account to help qualify for a BK? Last few months show good deposits because I was working on Modifying my mortgage (almost final stages).


Asked on 11/01/10, 9:24 am

2 Answer from Attorneys

David Gibbs The Gibbs Law Firm, APC

It is probably borderline fraud to intentionally manipulate your income to qualify to file bankruptcy. I would never advise a client to do so, and I think doing so puts you at great risk of having your case dismissed without a discharge and puts you at personal risk of other civil and criminal penalties. Consult with a local bankruptcy attorney - most will provide a free, initial consultation to discuss where you are within the context of the means test and your income levels. Don't lie about income to a federal court - you would be asking for more trouble than you can possibly imagine.

*Due to the limitations of the LawGuru Forums, The Gibbs Law Firm, APC's (the "Firm") participation in responding to questions posted herein does not constitute legal advice, nor legal representation of the person or entity posting a question. No Attorney/Client relationship is or shall be construed to be created hereby. The information provided is general and requires that the poster obtain specific legal advice from an attorney. The poster shall not rely upon the information provided herein as legal advice nor as the basis for making any decisions of legal consequence. As required by 11 U.S.C. �528, we must now disclose that, "We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code. Assistance we provide with respect to Debt Relief may involve bankruptcy relief under the Bankruptcy Code."

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Answered on 11/09/10, 3:17 pm


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