Legal Question in Bankruptcy in Maryland

state debts

i owe the dept. of unemployment insurance because of a overpayment. i worked one week while i recieved unemployment insurance, because i needed income and i didn't think i could get a check. at the time, due to an illness and couldn't hold the job, so when i recieved a check i immediately quit. when asked by unemployment , after applying for an extention if i had worked i told the truth. they charged me for the whole six months , plus fraud charges. anyway my total due is now $9000.00. is this dischargable?


Asked on 2/23/05, 12:14 pm

2 Answers from Attorneys
Daniel Press Chung & Press, P.C.

Re: state debts

It is dischargeable unless they assert and prove that it was incurred fraudulently. It is dischargeable in a Chapter 13.

Read more
Answered on 2/23/05, 12:34 pm
Michelle Stawinski Bouland & Brush LLC

Re: state debts

Based on the information you have given, it is unlikely that a discharge will be granted on that debt. Debts that will not be discharged include debts where there has been a judicial determination of fraud; where funds are due to the government for taxes, penalties, fines, and forfeitures; and when you have obtained monies by false pretenses or through false representations.

Having said that, filing for bankruptcy may be one way that you can satisfy that debt because the funds that you would otherwise be paying to other creditors will be available to pay the debt to the Department of Labor. The only way to know for sure what the best thing for you to do is to have a bankruptcy attorney review your situation to determine what debts would be discharged and how much would now be available to meet non-dischargeable debts.

Read more
Answered on 2/23/05, 1:02 pm


Related Questions & Answers

More Bankruptcy Law questions and answers in Maryland