Legal Question in Bankruptcy in California

Equipment Lease

I went out of business, breaking a 4 year, $50/mo equipment lease. The credit collection agency demands $4,000 in one lump sum. The equipment is valued at $500. I do not want to file bankruptcy, is there a way I can avoid it?


Asked on 6/28/99, 3:05 pm

1 Answer from Attorneys
Marcus G. Tiggs Slate and Leoni, A Professional Corp

Re: Equipment Lease

The remedy for the leasing company is to be placed in the same position it would have been if you completed the contract (i.e. the balance owed less the amount received from the sale of the equipment).

Of course a bankruptcy may be an option, however, if this were your major debt, you would be well advised to try to work things out less bankruptcy.

I am a Certified Bankruptcy Law Specialist, State Bar of California. Our Consultations are free.

Best of Luck

Slate and Leoni, PC

Marcus G. Tiggs, Esq

213-625-0161

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Answered on 7/08/99, 2:10 pm


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