Employer Fundamentals: Understanding Employment Law
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Employer Fundamentals: Understanding Employment Law

As a business owner, keeping informed about the finer points of employment law is important. If you're getting ready to hire your first employees, you need to be sure that you understand exactly what you can and cannot do. Don't risk getting yourself into legal trouble by asking the wrong question at the interview or making an off-hand comment that's considered legally unacceptable. I created this site to give you the basics of employment law expectations. I hope that the information here helps you to understand what you should and shouldn't do as you're interviewing and hiring your first staff members.

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Employer Fundamentals: Understanding Employment Law

Protect Yourself in Chapter 7 by Including Every Potential Debt You May Have

Irene Robertson

When you file for Chapter 7 bankruptcy, all unsecured debts will be discharged if the bankruptcy is approved. If you forget to include debts on your paperwork, there is still a chance that they will be considered "discharged," however, you may have to go through legal procedures if a creditor fights you for the money. This is why it is important to include every debt you have on your bankruptcy forms when you file.

What debts should you list?

When you sit down with a bankruptcy attorney to file for Chapter 7, you will need to bring a copy of all debts you owe. This includes the company or person you owe, the address, and any other contact information, such as the account number.

Your attorney will list every debt you bring, but the attorney will probably pull your credit report too. Your credit report will list a lot of debts you owe, and the attorney will list all of these too.

The only types of debts you should not list are

  • Car loans if you plan on keeping the cars
  • Home loan if you plan on keeping your house
  • Child support, spousal support, or alimony
  • Court-ordered payments you owe
  • Back taxes owed
  • Student loan payments

These debts cannot be discharged in Chapter 7, but any other debt you have should be listed on the Chapter 7 bankruptcy forms. After the forms are filed, each creditor listed will receive a notification about your bankruptcy, and this will give them the opportunity to fight the bankruptcy, if desired.

Are there other debts to include?

In addition to the normal debts you may have, there are several other types of debts to consider including on your bankruptcy that you may not think of. For example, if you owed a landlord rent money and haven't heard from him in years, you should add his name to the bankruptcy. While this person may never come after you for the money, it's better to include his name just in case.

Another example is if you had been involved in a car accident years ago. If you did not have insurance and are afraid the person could end up suing you, it might be wise to add this person's name too. You should add any debt you have and any debt you could potentially owe to anyone or any company. Doing this will protect you against any of these possible debts.

If you happen to forget to add a normal type of debt to your bankruptcy, the courts may still consider it discharged. The problem with forgetting debts is that the creditors you owe could come after you for the money. The result of this is that you may have to fight them in court to get the debts dropped.

Filing for bankruptcy is a great way to start over with your finances, and you should spend time gathering as much information as possible before you file. To learn more about which debts to include, talk to a bankruptcy attorney like FactorLaw.


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