Question

Can you please write at least a full page analysis and answer every part of the question.

Mary went for a consultation about a surgical procedure. When Robert met with her, he wore a name tag that identified him as a doctor and was addressed as “doctor” by the nurse. Robert then examined Marty, touching her stomach and showing her where the incision would be made. Robert was not a doctor, he was the office manager. Although the doctor actually performed the surgery on Mary, Robert was present. The doctor left a tube in Mary’s body at the site of the incision. A jury awarded Mary $275,000 in damages in a suit against Robert.

Robert borrowed $20,500 from a federal student loan program to finance his office management school. His salary at the doctor’s office was $12,500. Robert still lived at home with his mother, free of charge. After setting aside $50 a month in savings that included $233 for a new car and $50 for tools from Home Depot, his disposable income was $125 per month.

Robert wants to file a Chapter 7 bankruptcy petition. Why is Chapter 7 preferable in his situation to Chapter 11 or Chapter 13? Is this judgment dischargeable in bankruptcy court? Robert wants to ask the bankruptcy court to discharge the debts owed for his education. Should the court do so?

Answer 1

because a chapter 7 bankruptcy case does not involve the filing of a plan of repayment as in chapter 13. Instead, the bankruptcy trustee gathers and sells the debtor's nonexempt assets and uses the proceeds of such assets to pay holders of claims (creditors) in accordance with the provisions of the Bankruptcy Code..debtors who are engaged in business, including corporations, partnerships, and sole proprietorships, may prefer to remain in business and avoid liquidation. Such debtors should consider filing a petition under chapter 11 of the Bankruptcy Code. thats why chapter 7 is preferable in this situation

Moreover, the court may dismiss a chapter 7 case filed by an individual whose debts are primarily consumer rather than business debts if the court finds that the granting of relief would be an abuse of chapter 7

These debts are discharged in bankruptcy:

• credit card debt
• medical bills
• lawsuit judgments against you
• most debts arising from car accidents
• obligations under leases and contracts
• personal loans
• promissory notes,

so as per the above explained provisions this judgment is dischargeable in bankruptcy court

The most common types of non dischargeable debts are certain types of tax claims, debts not set forth by the debtor on the lists and schedules the debtor must file with the court, debts for spousal or child support or alimony, debts for willful and malicious injuries to person or property, debts to governmental units for fines and penalties, debts for most government funded or guaranteed educational loans or benefit overpayments, debts for personal injury caused by the debtor's operation of a motor vehicle while intoxicated, debts owed to certain tax-advantaged retirement plans, and debts for certain condominium or cooperative housing fees.

therefore  the court does not  discharge the debts owed for his education