Recent Blog Posts

Pinnacle Airlines Seeks Bankruptcy Protection

Long Island Bankruptcy Attorney — Tue, 10 Apr 2012 22:50:00 GMT

On Sunday, April 1, 2012 Pinnacle Airlines filed for Chapter 11 bankruptcy protection in the United States Bankruptcy Court in Manhattan. Based in Memphis, Pinnacle is a regional contract carrier for US Airways, Delta, and United Continental. The company said Sunday that their current business model could not be sustained, despite cutting costs for months. Due to flying cutbacks, the company has lost business from major airlines.

The company's Chapter 11 filing lists their assets at $1.54 billion, and their debts total $1.42 billion. They ended the third quarter with $81.8 million in cash and cash equivalents, though the company has been hurt by rising costs and integration problems. They plan to continue flying for Delta, though they are currently shutting down their service with US Airways and are planning to wind down their United Continental flights. Delta has committed to providing Pinnacle with $74.3 million for debtor-in-possession financing to enable them to carry on operations while reorganizing under Chapter 11 protection.

Bankruptcy can offer relief from overwhelming debt for companies and individuals. If you are considering bankruptcy to solve your debt problems, consult with a Long Island bankruptcy lawyer. The services offered by Blutter + Blutter allow clients to better understand their situations and determine the proper course of action to gain a financial fresh start. The firm has over 50 years of bankruptcy experience, and may be able to help you resolve your debt. Before choosing to file for bankruptcy or one of its alternatives, contact a lawyer from the firm for knowledgeable legal counsel that you can trust.

Pink Slime Beef Processor Files for Bankruptcy, May Not be Enough

Long Island Bankruptcy Attorney — Fri, 06 Apr 2012 23:01:00 GMT

The beef processor that has received nationwide attention for its "pink slime" meat additive may not be able to repay creditors after its sale, according to the company's lawyer. AFA Foods filed for Chapter 11 bankruptcy papers on April 2, 2012, in the United States Bankruptcy Court in Wilmington, Delaware, and seeks to sell the company within three months.

The company originally hoped to reorganize as an independent company, but is now aiming for a quick sale that will preserve as many jobs as possible. 850 workers are employed by the company, which is based in King of Prussia, Pennsylvania. Their assets are listed at $219 million, and they have $197 million in debt.

The struggling economy has led many businesses and individuals to consider bankruptcy as a means of dealing with debt. Bankruptcy law can be confusing and complicated, but a Long Island bankruptcy lawyer can offer clarity and assistance. If you are thinking about bankruptcy, but are unsure if it is the best option or how to file, contact Blutter + Blutter. The firm is dedicated to helping clients who are battling debt, and can offer you sound legal counsel in the various areas of bankruptcy law. Debt does not have to control your life; consult with a knowledgeable attorney to determine the best method of relieving your debts.

What Are the Benefits of Filing Chapter 7?

Long Island Bankruptcy Attorney — Wed, 07 Mar 2012 18:10:00 GMT

When looking to file for bankruptcy, most people are aware of the large decisions that they face in regards to the different chapters that are available to them. One of the most common and popular choices is that of Chapter 7 bankruptcy. Also known as straight bankruptcy or liquidation, the form of bankruptcy allows for debtors who are overwhelmed and unable to pay off creditors to liquidate their assets and discharge their debts. For those who have serious debt and are without the funds to pay it off, this could be the solution.

So what exactly are the benefits of filing under Chapter 7 bankruptcy? One of the most prominent advantages of filing this chapter is that all of your unsecured debt will likely be discharged – this means gone. You will no longer have to worry about it because it will be eliminated. It is also the fastest solution to getting your fresh start as there is no long-term repayment plan that must be followed for several years as is required in Chapter 13. A final advantage is the fact that the attorney fees are typically cheaper and therefore it is a less costly version of going through bankruptcy.

Of course, there are some disadvantages of this chapter as well. For example, someone who is filing for Chapter 7 is vulnerable to the fact that they could lose a considerable amount of their assets. While exemption laws protect some of the most important pieces of property, it does not protect everything – and if you are filing, you could lose some things that you own. If you would like to learn more about the benefits of filing for this chapter, it is highly encouraged that you consult with a Long Island bankruptcy lawyer from Blutter + Blutter. With extensive experience in this area of the law, you can rest assured knowing that we will go the distance in our efforts to provide high-quality representation you can rely upon. Contact a Long Island Chapter 7 bankruptcy attorney from our firm today to learn more.

Stockton, CA Could Be Largest City Ever to Declare Bankruptcy

Long Island Bankruptcy Lawyer — Wed, 29 Feb 2012 18:12:00 GMT

It came to light in the late month of February that Stockton in the Central Valley of California could become the largest city in history to officially file for bankruptcy. On Tuesday, February 28, the City Council voted that the city was to seek mediation in an effort to restructure the finances in a way that makes sense. It was during this meeting that the Council officially declared fiscal emergency – this makes it the third consecutive year that the city has found themselves in such a situation.

Officially, the city is now facing a budget deficit that runs in the range of $20 million to $38 million. They are now seeking help per a third party mediator as required by the California Legislator in 2011. They are hoping that by going down this path, that they will be able to avoid bankruptcy, however, they are aware that it could become necessary should major changes not be made.

Bankruptcy is often sought as a solution for those who are unable to gain control over their finances – from individuals to businesses and even cities. If you are currently dealing with financial issues such as this and are looking for help in the Long Island area, you can find it by contacting the legal team at Blutter + Blutter. With over four decades of aggregate legal experience, our firm has the experience that you need to help you consider all of your options and move forward through the bankruptcy process. To learn more about how a Long Island bankruptcy attorney from our firm can help you in a situation such as this, please contact Blutter + Blutter as soon as possible by calling us toll-free at 800-519-5120. We are standing by and ready to help you – regardless of the individual circumstances that you're dealing with.

Welcome to our Bankruptcy Law Blog

Bankruptcy Attorney — Wed, 28 Sep 2011 17:21:00 GMT

We are pleased to announce the launch of our Bankruptcy Law Blog with an RSS feed available at /Blog/Entire-Blog-Feed/RSS.xml

Long Island Learning From Hurricane Irene

Blutter & Blutter — Wed, 21 Sep 2011 19:35:00 GMT

As Hurricane Irene drenched the East Coast causing torrential rain, record high winds and power outages and life-threatening flooding, she also devastated many homes to the point of no repair. Between Wilmington N.C. and Boston (and of course including Long Island), nearly 1.9 million residences and businesses were at risk of storm surge flooding, according to CoreLogic, the financial analytics company.

Mortgage lenders require homes that lie within designated flood zones to be covered by flood insurance. This low-cost coverage is provided by the federal government and purchased through insurers. However, Hurricane Irene affected many homes that did not lie within a flood zone, therefore those home were not covered by flood insurance. Those particular homeowners are left with thousands and thousands of dollars worth of damages – CNN Money reports that the storm will total close to $7 billion in damages with only roughly $3 billion covered by insurance policies.

For the millions of people who were already struggling to make ends meet, damage from Irene could potentially mean bankruptcy. If you, or someone you know, is unable to pay for the damages left in the wake of the storm, it may be wise to contact a Bankruptcy Attorney.

Bankruptcy experts such as the Attorneys at Long Island Bankruptcy Firm Blutter + Blutter can help. Our Attorneys have been serving the residents of Long Island, Nassau, Suffolk, Brooklyn and Queens counties for over 40 years. Our experts specialize in bankruptcy and are able to help you see the light at the end of the tunnel. Monumental happenings such as hurricanes and other natural disasters, while devastating, can be a perfect opportunity for a fresh start.

If you are based in Long Island, Brooklyn, Queens or Nassau/Suffolk counties and are left with debt as a result of Hurricane Irene, contact the Law Offices of Blutter + Blutter We are here to serve you.

When to File Chapter 13 in Suffolk County

Blutter & Blutter — Tue, 30 Aug 2011 21:55:00 GMT

If you’ve decided that bankruptcy is the best course of action for you financially, you still may be wondering if you should file Chapter 7 or Chapter 13 in Suffolk County.

Below are some guidelines to follow as you consider which type of filing is best.

In a nutshell, you should file Chapter 13 in Suffolk County when you believe that you’ll be able to pay your obligations within a court-created payment. This means you won’t have to liquidate a good portion of your assets in order to fulfill your financial obligations to your debtors.

Businesses tend to file Chapter 13 more than individuals. This often is because a company can forecast sales, etc. into the future and see that it will have enough income to pay its bills and other obligations. Individuals, however often find themselves contemplating bankruptcy because they’ve lost a job or have an illness that doesn’t allow them to work. Thus, they have no income with which to pay creditors and so Chapter 13 isn’t an option for them.

But if you can continue to pay your debts, Chapter 13 could be the right choice for you for several reasons:

Your credit rating isn’t as affected as it is if you file Chapter 7. It still will take a hit, but because you’re paying off your obligations, the credit rating companies will take note of it and give you a higher score.
Filing Chapter 13 in Suffolk County means your bankruptcy will remain on your credit score for five years instead of the standard seven years.
Once you’ve filed Chapter 13 bankruptcy and the judge has approved your (re)payment plan, your creditors are required by law to contact you only through a bankruptcy court. No more harassing calls from creditors!
Another plus: the bankruptcy court can halt any foreclosure proceedings on your property.

Whether you choose to file Chapter 13 or Chapter 7, you’ll still need sound legal advice. You may not have to actually go to court to settle your debts – your attorney may see a way for you to do so without a bankruptcy decree.

Yet it’s virtually impossible to decide if you should file bankruptcy or which type of bankruptcy is best for you without an experienced attorney by your side. Bankruptcy laws change frequently and what may have worked for your neighbor three years ago may not work for you today. In addition, we know of too many bankruptcy filers who had their cases dismissed because they didn’t understand the intricacies involved.

Don’t let that happen to you. Call upon Blutter & Blutter Attorneys at Law today for a complimentary first consultation regarding filing Chapter 13 in Suffolk County. We look forward to serving you.

Long Island Bankruptcy: The Pros and Cons

Blutter & Blutter — Wed, 17 Aug 2011 20:20:00 GMT

re you considering filing for bankruptcy? Below are some of the pros and cons of doing so, some of which may surprise you when you consider Long Island bankruptcy.

Pro: If filing Chapter 7 bankruptcy, the whole process takes just three to sixth months.

Con: A Chapter 7 bankruptcy can remain on your credit files for up to 10 years.

Pro: If filing Chapter 7, creditors may not legally contact you at all about your debt during the bankruptcy process. Any garnishments or repossessions against you are stopped.

Con: Once the bankruptcy is over, you’ll have to give the court all of your credit cards. You also may have to give up some of your “luxury” items (cars, boats, furs, jewels, etc.) for liquidation.

Pro: In addition, even though you’ll have to liquidate some of your possessions to help pay your creditors, many of your personal possessions are exempt from this.

Con: Filing bankruptcy doesn’t erase all of your debt. You can’t file bankruptcy to get out of paying student loans, for example. Neither can you get out of paying alimony and/or child support by filing bankruptcy.

Pro: Filing bankruptcy can give you a great chance to start with the proverbial “clean slate” financially.

Con: If poor money management was what got you to bankruptcy, you can’t use bankruptcy to solve your problems again for several years. In other words, you can’t rely on bankruptcy to help you “take care of your debts.” You cannot file Chapter 7 bankruptcy again for seven years, for example.

Pro: Filing bankruptcy allows you to rebuild your credit rating.

Con: Filing bankruptcy also places a big “hit” on that credit rating. It will take you years to build it up.

Choosing to file with a Long Island bankruptcy court should never be taken lightly. The benefits as well as the detriments of such a decision should be considered carefully.

Such a decision should, frankly, be considered with the help of a good bankruptcy attorney. This professional will be able to go over your unique situation and come up with a plan that fits your circumstances to a tee.

Blutter & Blutter Attorneys at Law is just such a law firm. We have more than 40 years of combined experience helping Long Island residents make their way through the bankruptcy process.

We know this is an extremely stressful time for you and we hope you’ll contact us today for your free consultation so that we may give you the experienced attention you deserve. We look forward to hearing from you!

Long Island Bankruptcy Attorney Information: Who's Filing Bankruptcy?

Blutter & Blutter — Fri, 29 Jul 2011 22:10:00 GMT

So who is filing bankruptcy? The stereotype is that of a white unemployed middle-aged male who makes a middle-class income ($45-65K). But is this really the case?

When you visit a Long Island bankruptcy attorney you can wow him or her with these interesting facts, culled from USCourts.gov and the Institute for Financial Literacy’s 2008 report, "2008 report Annual Consumer Bankruptcy Demographics Report: American Debtors in a Recession."

Perhaps the most surprising fact from the report is that more women than men filed bankruptcy: 52.6 percent of women compared to 47.4 percent of men filed bankruptcy.

Another surprising fact: the vast majority of those who filed bankruptcy were employed: 63.4 percent!

If you decide to file bankruptcy yourself, engage your Long Island bankruptcy attorney with some more “fun” bankruptcy facts:

73.3 percent of those who filed bankruptcy were Caucasian.
63.4 percent were employed, 13 percent were unemployed and 9.9 percent were self-employed.
29.4 percent were aged 35-44, while 26 percent were aged 45-54 (so the stereotype of a middle-aged bankruptcy filer stands).
Most – 29.4 percent – had some college, while 12.3 percent had a bachelor’s degree. Those with just a high school diploma filed the most: 38.5 percent of bankruptcy filers had a high school diploma but didn’t attend college at all.
Those with small incomes filed the most. Of those who filed bankruptcy, 37.1 percent had an annual household income of less than $20K. Households with incomes of $60K and up made up only 8.1 percent of bankruptcy filers, while those with $50-60K in household income made up just 6.5 percent of bankruptcy filers.

So the “average” person who filed bankruptcy was a 40-year-old employed white woman with a high school education who earned less than $30,000 a year.

As for now, a record number of people filed bankruptcy in 2010: about 1.6 million people filed bankruptcy in the U.S. last year. This was the highest number since the bankruptcy laws changed in 2005. As for the first half of 2011, fewer people have filed for bankruptcy, although the number is just a small reduction. However, many bankruptcy experts believe the numbers for 2011 should be more than for 2010. If you’re looking for a Long Island bankruptcy attorney, contact our firm, Blutter & Blutter Attorneys at Law. We have more than 40 years of combined experienced to serve you. Contact us today!

Purchasing a Home After Bankruptcy, Short Sale or Foreclosure

Blutter & Blutter — Wed, 27 Jul 2011 22:00:00 GMT

Our firm, Blutter&Blutter, is an active Nassau, Suffolk, Queens Bankruptcy and Foreclosure firm. We have found that one of the most popular questions is: When can we purchase a home after bankruptcy filing or after our home has been foreclosed. In 2011 this is all too familiar event. It could happen because of job loss, illness, or high mortgage payments that were not foreseen. In any event, we are constantly asked to help eliminate debt, provide foreclosure defense or participate in representation in a short sale. But the question remains, when can a person or couple repurchase a home.

Here are the answers with various types of reports on your credit report:

1. In a short sale, where the home is sold for less than is owed on the mortgage, the time to purchase another home may be nine months or one year from the date of the sale. It should be noted that certain income may have to be reported on your tax return for the amount of debt forgiven.

2. In a foreclosure sale, where the bank through court administration retakes ownership of your home, it could take three years of more before the previous homeowner who has had the foreclosure can qualify to purchase a new home.

3. In a bankruptcy, one can give up their home and discharge unsecured debt. According to Fannie Mae and Freddie Mac (not people but federal mortgage providers) the wait to purchase a new home is two years. There are no tax implications in a bankruptcy.

4. A deed in lieu of foreclosure exists where a party writes up a deed to their home to the mortgage company in lieu (instead of the bank foreclosing). The wait to purchase a new home is 2 years.

Thus the mortgage forest is large and confusing. For further explanation of the above, contact Blutter&Blutter, Esqs., at 516-336-8060 , 718- 529-7777, or 800-864-9943. We have offices in Plainview, Garden City, Melville, Hauppauge, and Queens.

Why Hire a Long Island Tax Attorney

Blutter & Blutter — Wed, 20 Jul 2011 21:55:00 GMT

A Long Island Tax lawyer is an individual who has a great deal of education and experience in various types of tax matters. Whether an individual has to file past tax returns, current tax returns, is being audited, has tax issues with auditing authorities from the Internal Revenue Service, NYS Income tax or Sales tax bureau, or needs information on a particular type of tax matter, the Long Island or Queens or Brooklyn Tax Lawyer is often the person to bring substantial expertise to the client.Blutter & Blutter have been practicing in this area for decades and have offices in Garden City, Plainview, Melville, and Hauppauge on Long Lisland.

BlutterandBlutter.com provides an internet site where individuals can examine the various areas in Taxation that the law firm of Blutter and Blutter have expertise. In addition, Blutter and Blutter can be contacted by telephone at 516 336 8060, or toll free at 1 800 864 9943.

Massive Credit Card Debt? File Bankruptcy in Long Island

Blutter & Blutter — Tue, 19 Jul 2011 20:20:00 GMT

Do you have considerable credit card debt? Are you worried that you won’t be able to pay your creditors on time, let alone pay your mortgage/rent, buy food and clothing for your family? If so, it might be a good idea for you to file bankruptcy online in Long Island.

Yes, it is possible to get rid of the albatross of excessive credit card and other types of debt that are keeping you – and possibly your spouse and others close to you – up at night. Decide to file bankruptcy in Long Island and you could see your financial situation go from one of insecurity to one of well-being. Chapter 7 bankruptcy, for example, often can mean that all of the debt is discharged. Chapter 13 bankruptcy could see you paying just a small part of your total debt over several months or years.

The first thing that someone will find who takes the step to file bankruptcy in Long Island is that the harassing calls from creditors will stop almost immediately after filing the bankruptcy petition in court. Wage garnishments, foreclosure processes and other harassments by creditors also will cease.

If you’ve gone to your credit card companies and tried to work out a payment plan with them, you probably never heard that filing bankruptcy could help you. In fact, if you brought the subject up, the credit card companies probably might have told you wouldn’t be able to get credit if you did file bankruptcy. That is not the case! Those who file bankruptcy in Long Island often can get credit again relatively quickly.

Here at Blutter & Blutter, we’ve often found that people who are up to their ears in credit card and other unsecured debt are in this situation due to circumstances beyond their control – a death of spouse, divorce, job loss, major health concerns – all can result in a huge individual or family debt load, one that is almost impossible to retire.

But bankruptcy could mean a new start. A chance to begin again. To help you determine if you should file bankruptcy in Long Island in order to get out from under considerably credit card debt, contact the law firm of Blutter & Blutter Attorneys at Law. We’d be happy to meet with you for a complementary session to see if filing bankruptcy is the best course of action for your situation

Talking Divorce with Your Long Island Bankruptcy Lawyer

Blutter & Blutter — Tue, 28 Jun 2011 21:55:00 GMT

This isn't a topic we like to discuss, but we've seen it far too often not to bring it up — divorce and bankruptcy walking hand in hand. Talk to any Long Island bankruptcy lawyer and you're sure to hear that he or she has seen far too often the strain poor finances can take on a marriage, leading to a rift that's gone beyond any hope of reconciliation.

On the other hand, we've also seen individuals who need to file bankruptcy because of the disaster their finances as a result of divorce.

If your finances are failing and you and your spouse are considering divorce, we strongly advise that you speak with a Long Island bankruptcy lawyer before your divorce is finalized. Why? Because your divorce settlement could well have a huge affect on what you can't and can do in a bankruptcy.

For example, if your divorce agreement includes a "domestic support obligation" (also known as a DSO), you'll want to know if your DSO is "dischargeable" — if you won't have to pay it once your divorce is final. DSOs can range from alimony, property settlement agreements, and so on. DSOs usually are not dischargeable.

However, if your DSO comes about as part of a property settlement, it could be dischargeable. If your DSO is considered to be "support," it's probably not dischargeable.

You also should know that if you file bankruptcy while you're in the process of divorcing your spouse, the bankruptcy court may "stay" your divorce proceeding from determining how your property will be divided. As you can see, this can greatly affect how your property will be distributed in your divorce settlement — even if you and your spouse want to divide your assets together amicably! You can see how critical it can be to meet with a Long Island bankruptcy attorney before — or very soon after — you file for divorce.

As awful as your financial and personal situation may be if your pursuing divorce/bankruptcy, we strongly advise that you take the time to speak with a Long Island bankruptcy attorney before trying to do both — divorce and file bankruptcy — at once. Our Long Island law firm, Blutter & Blutter Attorneys at Law, is here to help you decide the best course of action for your situation. Contact us today for to set up a free, initial consultation with one of our attorneys. We look forward to serving you!

What is a foreclosure? What is a mortgage modification? What is Forebearance?

Blutter & Blutter — Mon, 20 Jun 2011 22:05:00 GMT

Blutter&Blutter, Nassau, Suffolk, and Queens County Bankruptcy lawyers and Nassau, Suffolk and Queens County Foreclosure lawyers, often are asked the above questions. Basic answers follow:

Foreclosure is the act of the bank taking back into ownership the house that has not been paid for. Foreclosure lawyers defend against this action. Blutter&Blutter defends against this action.

Mortgage Modification is the reduction of the principal or interest to be paid to the bank by the borrower. Blutter&Blutter helps debtors achieve this reduction in principal or interest.

Forebearance is the action by a bank for a period of time not to foreclose and take the house. Blutter&Blutter helps debtors achieve this permission from the bank.

Contact Blutter&Blutter, Nassau, Suffolk, Queens and Brooklyn Foreclosure defense lawyers and bankruptcy lawyers. Our phone numbers are 516-336-8060; 718-529-7777 or 1-800-864-9943.

Foreclosure Defense Attorneys

Blutter & Blutter — Mon, 20 Jun 2011 22:00:00 GMT

The Sunday New York Times, published June 19, 2011, on page 1, column 1 had a headline that the “backlog of cases gives a reprieve on foreclosures.” It goes on to say that millions of homeowners in distress are getting unexpected breathing room—lots in some places.

Fabulously unexpected, in New York State, it would take lenders 62 years at the current pace of foreclosures to repossess the current outstanding number of homes in severe default of foreclosure. Four years ago if you were in foreclosure you would be biting your nails worrying when the sheriff going to put me on the street. Now many in foreclosure are probably not losing any sleep.

This is because of a number of reasons including that major banks admit they have been illegally processing papers and using robo signers. Now they are required to provide a great deal of information to the courts. In New York State foreclosure filings are down 85% since last fall.

In addition, attorneys at Blutter&Blutter can defend homeowners against improper filings. For a foreclosure lawyer who defends home owners, please contact us at 1800 864 9943 or 516 433 7777 or 718 529 7777. We will explain our program of foreclosure defense.