Laws of Interest to Creditors
Our team of attorneys and legal professionals will assist you through your legal entanglements with care and professionalism.
WhatsNew:
Dealing With This Economy
December 3, 2011
We have been busy at the firm helping our clients deal with this difficult economy. We have had some success recently filing Chapter 11's for a few individuals with multiple properties. A recent court ruling from the Middle District of Florida eliminated a major challenge to this type of bankruptcy. We have seen a drop in the number of Chapter 7 cases compared to last year but have been advised by the foreclosure attorneys that the next waive of foreclosures in coming soon. We expect to see a corresponding increase in Chapter 7 filings. Let us know if we can help you with your financial issues.
CurrentNews:
American Airlines Files Chapter 11
December 2, 2011
The parent company of American Airlines filed for bankruptcy protection in late November, seeking relief from crushing debt caused by high fuel prices and expensive labor contracts that its competitors shed years ago. For most travelers, though, flights will operate normally and the airline will honor tickets and take reservations. American said its frequent-flier program would be unaffected.
Recent Events:
The Local Bankruptcy Scene
November 28, 2011
In the Southern District of Florida, our firm has seen an increase in the unwillingness of Chapter 7 trustees to forgo the collection of potential funds. In Florida, an individual's exemptions in bankruptcy are guided by reference to state-not federal-law. An individual is entitled to certain exemptions of personal and real property. Generally, if an individual was over their exemption limit, i.e. having certain property not entitled to exemption, trustees would generally forfeit their right as administrator of the bankruptcy estate to sell the non-exempt asset if the asset was of little value or considered "unsellable." However, our firm has observed a recent uptick in the willingness of the trustee to sell non-exempt assets worth little, seemingly because trustees do not want to lose out on the potential collection of funds. Often, the sale generates funds in an amount that does little more than pay for trustee and professional fees. If you are considering filing for bankruptcy protection, it is imperative to consult with a bankruptcy attorney who can explain your options and offer pre-bankruptcy planning to avoid these common pitfalls.
Laws of Interest To Consumers and Creditors
We handle and defend collection matters and lawsuits in Miami-Dade, Broward and Palm Beach Counties and in the Southern District of Florida.
Florida's Court System
Collection matters in Florida courts are broken down into three jurisdictional levels, Small Claims, under $5,000.00, County Court, $5,000.00 to $15,000.00, and Circuit Court, over $15,000.00. The County and Circuit Courts generally look favorably upon motions for summary judgment in simple collection cases.
Executions can begin on judgments ten days after their entry provided the defendant does not file a motion for rehearing. Motions for rehearing are generally resolved without hearing. A supersedes bond is required to prevent execution on a judgment pending appeal.
Interest on judgments is presently set at 6% and changes annually on the first of the year. The interest rate on judgments and on obligations without a specific rate of interest in Florida can be found at http://www.myfloridacfo.com/aadir/interest.html.
Exemptions
Exemptions from execution by creditors are governed by the Florida Constitution and Chapter 222, Florida Statutes. The general exemptions include the following:
- homestead - unlimited
- personal property - $1,000.00 per person if claiming a homestead
- motor vehicle - $1,000.00 per individual on one vehicle
- IRA’s, pension plans and Keogh plans - totally exempt
- prepaid college tuition plans - totally exempt
- life insurance benefits and cash value - totally exempt
- proceeds of life insurance - totally exempt
Retaking Collateral
Florida law offers very limited self-help provisions. The holder of a recorded lien on a licensed motor vehicle can repossess the vehicle and apply for a new title without going to court. Most other forms of retaking collateral, including mortgage foreclosures, tenant evictions, and replevin of personal property require the filing of a lawsuit and the obtaining of a judgment.
Asset Searches
We can provide immediate asset searches on individuals and corporations, including statewide searches for real estate, automobiles, airplanes, boats and can determine whether the individual holds any state license or has any pending workers comp claims or criminal actions.