Too many cars, too much food?

[keitheii]

Yesterday I was informed my bank account was unfrozen, I immediately withdrew some of my funds to pay back the person who loaned me the $$ to hire the lawyer and file my bankruptcy.. Everything seemed like it was working out, then today I get word that the trustee has informed my attorney of two problems on my chapter 7 filing; keeping in mind I support my girlfriend who I plan on proposing to as soon as all of this is behind me..

1. I can not own two cars: I have an old (2004) SUV which has 180,000 miles on it, needs $1500 in repairs, I drive 100 miles a day to work and I can't use that car since the cost of gas is too high and it only gets about 11-15MPG.... It's unreliable so I only use it for local trips in the winter and taking care of things for my mother who has medical issues and requires my help. The cost of commuting to work with the SUV is actually more money then the cost of my hybrid's car payment and gas.. My girlfriend is taking driving lessons, just got her permit a few months ago, and the plan was to let her use my car once she gets her license. I have no idea what to do here.

2. I support my girlfriend who currently doesn't work, we've lived together for almost two years. I was just told the amount I spend on food/suplies is too high and I can't use supporting my girlfriend as the reason since we aren't married... it was implied that I should go rush and marry her so this won't be an issue... There is no way I'm going to marry her to help my bankruptcy, that is absurd. I love her, and plan on proposing to her once this is all behind me.. I planned on doing that before.. but I don't want there to be any question about why I'm proposing, and I want it done right... and after my legal mess is over... so now what?

My attoney's paralegal told me that they're looking into options and will get back to me.. but I've lost a lot of faith in my attorney since these are both things they should have known before they even filed... and they only got my checking account unfrozen based on my parroting feedback I received on here and not on their own.

[frogger]

Marry the girl and get on with your life.

[LadyInTheRed]

I'm not sure marrying her will help with this case since the mean test is based on the facts that existed on the day you filed. You might have to dismiss the case and file a new one. But, if you want to marry her anyway, I think Frogger is right that you should do it. You are already supporting her. Why should she question your motives?

It sounds to me like your attorney is either inexperienced or not paying attention.

Didn't he tell you that your account would remain frozen until you were discharged? There's one place where he was wrong. What did it take to get it unfrozen?

Is the car issue an issue of allowing expenses for two cars or exempting both cars? Or is it both?

The second issue is definitely a household size issue. The Bankruptcy Code does not define a household and this issue varies by court. If your attorney had never dealt with this issue, he should have found out how it is treated in your court. Maybe since you were in a hurry to file, the attorney didn't carefully review your petition and missed the issue. Not a good excuse, of course.

The options, depending on the facts, will be to either 1) amend the petition so that you pass the means test, 2) argue that it is appropriate to include your girlfriend in your household size and hope the trustee relents or the judge agrees with you, 3) convert to a Chap 13 and hope you can get a plan confirmed that you can live with or 4) let the Chap 7 get dismissed and either file again when you can qualify for a discharge or find another solution to your financial problems. I suggest you wait to find out what options your attorney comes up with. Insist you talk to the attorney, not the paralegal. Did the paralegal tell you when they will get back to you? If he doesn't think you can get a Chap 7 discharge, ask him why he didn't let you know it was an issue before you filed. I think you need to determine whether the attorney lacks knowledge and experience or is relying too heavily on his paralegal. If your attorney is inexperienced, you may want to consult with another attorney or two or insist that your attorney get help from a more experienced attorney.

[justbroke]

If the New York judges are like the Florida judges (many actually retire here in Florida), then you don't have a legal obligation to support your girlfriend. I had the same issue in a Chapter 13, but I dealt with that prior to confirmation. Since your case is a Chapter 7, you probably can't marry her and claim her retroactive to the date of filing. Many Trustees look to your tax returns to determine support.

I like everything that LITR wrote, so I'm not going to write much more. You have many things to think about. Marrying her "now" is not using her to get through your bankruptcy. If you are already supporting her and live as a married couple, you are just confirming that for the Court. The Court has no clue what you will do "tomorrow" with your relationship. I had to do this same thing during my Chapter 13. I told her either I marry you now, or we have to move to a 1-bedroom apartment (with the 2 kids), get rid of the car I bought her, and live on $670/month for food for four people. It's not what I wanted to do, but I was prepared to live my Chapter 13 plan as a "single" person.

[Dis0314]

since she's lived with him for so long wouldn't that be considered common-law marriage?

[justbroke]

since she's lived with him for so long wouldn't that be considered common-law marriage?

It's pretty simple really; New York does not recognize common-law marriage. Too many issues with trying to litigate over whether the couple became a common-law marriage outside the State of New York (Florida doesn't allow it either), because you'd have to "prove" that you held yourself out as a married couple. That is, joint bank accounts, filed taxes as married, told people you were married, titled property as husband and wife.

Of course, that's hyper-technical and I consider bankruptcy to be a hyper-technical process.

[keitheii]

I was told if we got married I could amend the petition but that's not the route I'm going to go, I don't want her tangled in my mess, and I dont want to live my life feeling that I proposed when I did to facilitate a bankruptcy... I want my proposal to be on my own terms and all about romance, not finance... In any case I had another call from the lawyer.. He gave me a few options, the only one which makes sense is chapter 13.. But at my salary and only owing 17K (not counting the car) I'd probably be on the hook for everything plus 10%... no idea how I could make that work but no idea what else to do..

[skyblue69]

Chapter 7 - no asset. We had a grandson living with us full time & were able to include him as a member of the household which increased our allowable exemptions/expenses for the means test.

[justbroke]

A family member living in your home is easy to deal with in bankruptcy. SInce you could have claimed a grandson as a dependent for income tax purposes, there would not have been a question.

This area of bankruptcy, specifically what constitutes a household member, has been fought over since the creation of the Means Test. Anyone living in the same household is, by definition, a household member. The question becomes, for purposes of the Means Test, whether they are a household member when it comes to calculating the expenses. (In many Districts, a non-dependent can be included in the household size for purposes of the over/under-the-median test, but not for the expenses.)

To keitheli, your new spouse would absolutely not be "part" of your bankruptcy. They would not even have their name in your bankruptcy. They are a non-debtor and would not be a party to the bankruptcy at all. Been there. Done that. No entanglement.

[LadyInTheRed]

I was told if we got married I could amend the petition but that's not the route I'm going to go, I don't want her tangled in my mess, and I dont want to live my life feeling that I proposed when I did to facilitate a bankruptcy... I want my proposal to be on my own terms and all about romance, not finance... In any case I had another call from the lawyer.. He gave me a few options, the only one which makes sense is chapter 13.. But at my salary and only owing 17K (not counting the car) I'd probably be on the hook for everything plus 10%... no idea how I could make that work but no idea what else to do..

I have news for you: Marriage is not all about romance. It is about living life as a team to enjoy the good times and get through the hard times, including working through financial difficulties. Filing a Chap 7 after getting married will not affect your wife any differenty than it will effect your girl friend. She won't be tangled in anything. Propose whenever you want. But, it doesn't sound like you will get a Chap 7 discharge while single.

Did you ask your attorney why he did not tell you this would be a problem? If he told you that you qualify for a Chap 7, I'd be asking him what he plans to do to make this right. Unless one of those options included "fight the trustee because he is wrong on this," I would be looking for a refund of attorney fees and filing fees and a new attorney. You should at least go consult with a different attorney about your situation.

[LadyInTheRed]

Here's an article that describes different approaches taken by different courts to determine household size. http://www.alllaw.com/articles/nolo/...eans-test.html

[Drazil65]

"I have news for you: Marriage is not all about romance. It is about living life as a team to enjoy the good times and get through the hard times, including working through financial difficulties. Filing a Chap 7 after getting married will not affect your wife any differently than it will effect your girl friend. She won't be tangled in anything. Propose whenever you want. But, it doesn't sound like you will get a Chap 7 discharge while single."

AMEN to that!!!!!

[sleepless2]

"I have news for you: Marriage is not all about romance. It is about living life as a team to enjoy the good times and get through the hard times, including working through financial difficulties. Filing a Chap 7 after getting married will not affect your wife any differently than it will effect your girl friend. She won't be tangled in anything. Propose whenever you want. But, it doesn't sound like you will get a Chap 7 discharge while single."

AMEN to that!!!!!

If you only new how true this is or will be. First impression is get more information from other attorneys. You should have been briefed on this before filing. Also I was very curious - Why did they say you were not allowed two cars. Do you own them out rite? If you are looking at a fresh start- Let them have it, you can always buy it back if it is a real junker or get another junker after you are discharged. Keep in mind the overall goal. Fresh start Debt free and move forward.

[BKAttyMI]

From what you're saying here, something doesn't sound right. Why not make an appointment with another local bankruptcy attorney and get their take on the situation? Marriage shouldn't have an effect on the Chapter 7 at this point, you need someone that knows what they're doing and from what you're saying, your attorney sounds like they aren't on the ball. Another opinion wouldn't hurt.

[keitheii]

It winds up all of this may be moot now, I'm going to create a separate post to explain and ask for advice.
Thanks for everyone's replies!