BANKRUPTCY

The fact that you have filed a bankruptcy will not prevent you from getting credit. While you should expect getting credit to be more difficult and expensive, there are actually many lenders that target people recently discharged from a bankruptcy since they have no other debt, are ready to establish their credit and they can’t file for bankruptcy any time soon.

This depends on a variety of factors. While bankruptcy will typically lower a credit score, it will not necessarrily do so. In fact, if you already have a low credit score, bankrutpcy can actually increase your score, especially after sucessful completion of a Chapter 13 bankruptcy plan in which you pay off some of your debt. Chapter 7 bankrutpcy can also, in certain instances, increase a low credit score, after sucessful discharge.

Typically, debtors in a Chapter 7 bankruptcy are able to keep property that is exempt, fully encumbered with debt, and property that has no value or cannot be sold.

Exempt property is property (up to a certain value) that a creditor cannot take. California has two sets of exemptions and the Bankruptcy Code also includes a set.

Fully encumbered property is property that has liens or mortgages which are equal or greater to the value of the property. The trustee does not want this property because they will not make any money after selling the property and paying off the liens. You may keep this property as long as you are current on payments. If not, the creditor will take the property.

If due to lower income or other unforeseen circumstances that can be documented, the plan can be amended. If the plan is less than 60 months, it can be extended to allow for missed payments to be made up.

REAL ESTATE

If your lender stated they would permanently modify your mortgage payments if you made three trial modification payments on time, they must honor this promise. If you are facing this situation or one similar to it, you more than likely have a valid claim for breach of contract against your bank. Call Anand Law, PC today to discuss your rights with a qualified attorney – 323-325-3389.

In general, the limits are:

  • 10% interest on a loan primarily for personal, family or household purposes;
  • For loans that are not for for personal, family or household purposes, the higher of 10% or 5% over the amount charged by the Federal Reserve Bank of San Francisco on advances to member banks on the 25th day of the month before the loan (including loans to be used primarily for home improvement or home purchase).

There are, however, exceptions to these limits including the “broker-arranged” exception. Click here to view the Office of the Attorney General’s web site for more information.

If you have been charged a usurious rate, you are entitled to all amounts you have paid in excess of the principal. Call Anand Law, PC today to discuss your rights with a qualified attorney – 323-325-3389.

ENTERTAINMENT

A mere idea is not protected as property in California (Desny v. Wilder). However, a promise to pay for the conveyance of an idea may be implied by the law from the circumstances surrounding the acceptance of that idea (Burtis v. Universal Pictures Co.).

In order to prevail on a breach of an implied-in-fact contract claim, it must be shown that the plaintiff not only conveyed an idea that was used by the defendant for a profit, but also that the idea was conveyed with the expectation that payment would be made if the idea were to be used. The plaintiff must show:

  1. that he or she prepared the work;
  2. that he or she disclosed the work to the offeree for sale;
  3. under all circumstances attending disclosure it can be concluded that the offeree voluntarily accepted the disclosure knowing the conditions on which was tendered (i.e., the offeree must have the opportunity to reject the attempted disclosure if the conditions were unacceptable); and
  4. the reasonable value of the work. (Faris v. Enberg)