A fundamental goal of the federal bankruptcy laws enacted by Congress is to give debtors a financial “fresh start” from burdensome debts. The Supreme court made this point about the purpose of the bankruptcy law in a 1934 decision:
It gives to the honest but unfortunate debtor… a new opportunity in life and a clear field for future effort, unhampered by the pressure and discouragement of preexisting debt. Local Loan Co. v. Hunt, 292 U.S. 234, 244 (1934).
This goal is accomplished through the bankruptcy discharge, which releases debtors from personal liability from specific debts and prohibits creditors from ever taking any action against the debtor to collect those debts.”*
The attorneys of Chugh, LLP are dedicated to helping individuals regain their financial freedom. The bankruptcy process is complicated and the attorneys at Chugh, LLP can explain every step of the process to you to ensure that you have a complete understanding of your Chapter 7 bankruptcy.
A Chapter 7 Bankruptcy can be defined as liquidation of asset where the debts exceed the assets and income.
*Bankruptcy Judges Division; Administrative Office of the United States Courts, Bankruptcy BASICS, April 2006
Disclaimer: The bankruptcy information provided here does not constitute legal advice and does not create any attorney-client relationship or contract of any kind between the reader and Chugh, LLP or any of its attorneys. Information provided here is for informational and educational purposes only and does not constitute legal advice. Chugh, LLP is a debt relief agency that helps people file for bankruptcy relief under the U.S. Bankruptcy Code.