Declaring bankruptcy is always an uncomfortable choice. Many of our Washington bankruptcy clients struggle to reconcile the decision with their naturally ingrained work ethic; even when they know that a bankruptcy is a legitimate chance to wipe the slate clean and start again, they still consider it a “failure.”
Sometimes, however, it is the only choice after a series of difficult choices. Take Lorraine Bracco, for example. What else is an actress who hasn’t acted in five years because of a protracted and very expensive legal custody battle going to do? Like many of our WA State bankruptcy clients, she was completely out of options.
As another example, take Kim Basinger. The reason Basinger went bankrupt is that she backed out of a verbal contract with Main Line Pictures and was ordered by a court to pay $8.1 million.
When hit with a suit like that, the court often takes into account personal assets. That $20 million dollar community, sold for just over $1 million. But don’t worry, Basinger was able to bounce back from her bankruptcy three years later when a little film called LA Confidential hit the theatres and earned her an Oscar. That other film she backed out of, Boxing Helena, also won an award…Worst Director.
Many people end up filing for bankruptcy as a result of a large judgment. If you live in WA State and have questions about whether or not filing for bankruptcy is a good way for you address your financial problems, it’s always best to consult with an experienced Washington bankruptcy attorney.
A good WA State bankruptcy lawyer is familiar with the bankruptcy code. They should be able to determine in a relatively short period of time, and several hours at the most, whether or not you can qualify for bankruptcy under the 2005 revisions that introduced the means test.
In our experience, however, the overwhelming majority of people who could qualify for a Washington bankruptcy under the old laws, can still qualify today. This is because the primary tenet of bankruptcy law remains the same. If you have little no ability to pay your debts and obligations after you cover your bare minimum living expenses, the federal and Washington state bankruptcy laws are here for your protection.
Despite a lot of press coverage touting the difficulty of filing under the new laws, the 2005 revisions did little to change this primary basis for seeking relief under the bankruptcy code.