Legal Question in Bankruptcy in California
I bankrupcy lawyer who went out of business in the middle of my bankrupcy. I have already paid him and I am unable to financially pay for another one do I have any course of action? I don't believe that he properly settled my debts because I just started getting calls from creditors again! What is the best way to handle it?
3 Answers from Attorneys
I am really sorry to hear about what happened to you. I'm frankly surprised that a bankruptcy attorney would "go out of business" at this time - when bankruptcy filings are basically at all-time record levels. My guess, if I had to hazard one is that he may have encountered some problems with the State Bar over other activities.
First, contact the California State Bar Association (www.calbar.ca.gov), file a complaint about this attorney's conduct and then make a claim against the Client Security Fund. The State Bar maintains this fund to help victims of attorneys who steal money from clients. In certain, limited circumstances, they might reimburse you the fees you paid to this attorney, though generally they do not reimburse fees if some of the work was done (in your case, the bankruptcy documents were prepared and filed, but the rest of the work not completed).
Next up, you need to contact the Office of the United States Trustee Program for the Court in which your bankruptcy was filed. File a complaint about the attorney, and maybe - again I stress maybe - if someone in that office takes pitty on your case, they might be willing to bring a case against the attorney in the bankruptcy court to recover your fees. It is not a high-probability that they will, but it costs you nothing more than a letter or email. It will also serve to (hopefully) cause the court to revoke his admission to that court.
Finally, in terms of how do you go forward, you are going to have to get another attorney to help you finish this case, or file a new one. Frankly, if the creditors are contacting you again, it sounds like your prior bankruptcy was closed or dismissed without a discharge. You can go to the bankruptcy court and ask the clerk to review the information in your case to see what happened. No matter what, you need an attorney to represent you. You also need to consult soon with an attorney who handles legal malpractice claims, as you may have a claim against your former attorney. You need to call the local legal aid office to see if someone can represent you pro-bono (without a fee) or for a reduced fee to help you get through this. Good luck - again, I am sorry to hear that you find yourself in such a terrible position.
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You do need to hire new counsel. Unfortunately that may involve new fees.
Do file complaints with the State Bar, and US Trustee about your existing attorney. You may have a right to sue him, which you will need to disclose in your bankruptcy case.
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