Bankruptcy: Chapter 7 From Beginning to End

Overview: 

This presentation provides a comprehensive overview of Chapter 7 bankruptcy, the most common form of consumer debt relief under federal law. It examines the procedural steps from petition to discharge, emphasizing the rights and responsibilities of debtors, the role of the bankruptcy trustee, and the treatment of exempt versus non-exempt assets. Attendees will gain insight into how the automatic stay protects debtors from collection actions, how creditors’ claims are administered, and the distinctions between dischargeable and non-dischargeable debts.

The program also explores eligibility under the means test, the implications of filing on credit and future financial transactions, and ethical considerations for legal practitioners advising clients in financial distress. By the conclusion, participants will understand the full lifecycle of a Chapter 7 case-from filing requirements and trustee oversight to final discharge and post-bankruptcy recovery-equipping them to navigate or counsel others through the process with clarity and confidence.

Course Objective: 

• Explain the legal purpose and structure of Chapter 7 bankruptcy under the U.S. Bankruptcy Code.
• Identify the eligibility requirements and apply the means test to determine qualification for Chapter 7 relief.
• Describe the procedural steps in a Chapter 7 case, including petition filing, automatic stay, creditor meeting, and discharge.
• Differentiate between exempt and non-exempt assets and understand how each is treated during liquidation.
• Analyze the roles and responsibilities of the bankruptcy trustee, debtor, creditors, and counsel throughout the process.
• Distinguish between dischargeable and non-dischargeable debts and explain the legal implications of each.
• Evaluate the impact of Chapter 7 on a debtor’s credit, financial recovery, and future legal obligations.
• Recognize common ethical and professional considerations in representing debtors or creditors in bankruptcy proceedings.
• Apply procedural and practical knowledge to real-world case studies involving consumer or small business debtors.

Target Audience: 

attorneys,paralegals, and financial professionals who advise clients on debt relief,asset protection, or insolvency matters. It is also appropriate for lawstudents, consumer credit counselors, and fiduciaries seeking to understand theprocedural and practical aspects of Chapter 7 bankruptcy.

Basic Knowledge: 

• Attendeesshould possess a foundational understanding of civil procedure and basic legalterminology. Familiarity with concepts of secured and unsecured debt,creditor-debtor relationships, and general financial documentation isrecommended.
• Forlegal professionals, prior exposure to bankruptcy or consumer protection law ishelpful but not required. Non-attorney participants-such as financial advisors,credit counselors, or fiduciaries-should have a working knowledge of personalor business finance, including budgeting, asset valuation, and debt managementprinciples.
• Noadvanced legal training is necessary; however, participants should be preparedto engage with statutory references from the U.S. Bankruptcy Code and relatedfederal procedural rules. A general comprehension of how court-supervisedproceedings function will enhance understanding of the material.