Risks Of Filing Bankruptcy Yourself

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Lots of people who are taking into consideration submitting bankruptcy wonder whether they could do so without a lawyer. After all, this is a time when their financial circumstances go to a lowest level. They may not have the ability to imagine paying any more money. When even buying groceries feels like a pressure, it is alluring to move on without a lawyer.

Never think that you could not afford a lawyer. Our attorneys at McKoon, Williams, Atchley & Stanley, PLLC always offer a free consultation and understand how difficult your situation is. A solution can always be found.

The Advantages of Filing Yourself

Despite which state you stay in, you can legally file bankruptcy without a lawyer. If you do not have a lot of / expensive property, do not own assets, as well as your credit score situation is rather simple, you could be able to get away with submitting your own bankruptcy papers. The good news is, the forms for bankruptcy filing are standard. Just comply with the Federal Rules of Bankruptcy Procedure. The court clerk will let notify you about any schedules that have not been completed properly.

The Risks of Filing Yourself

Bankruptcy documents seem simple enough, especially considering that the changes to bankruptcy legislation in 2005. It is extremely tempting to do it on your own. You could feel that you have nothing to lose, or you may simply be the type of individual that usually does his or her own job.

Sadly, there are numerous mistakes that people make when filing. The largest issue is leaving a creditor or some property off the paperwork which could produce big issues. Also if you believe that type of financial debt can not be released, you can be mistaken.

If you deliberately leave a person off because you wish to pay back the debt you owe them, the court will not to have a complete picture of your debt obligations. It is important that the court recognizes every little thing there is to learn about your case in order to aid you effectively assign your financial debt.

When residential or commercial property is left off the schedules, it is most often because individuals forget. Right here are a few of the more common neglected things:

  • Retirement funds
  • Tax funds
  • Trust funds
  • Interest in a probate estate that is pending
  • Partnership interest
  • Lawsuits that have been filed

Warning

If you are considering filing bankruptcy without an attorney, you may have heard that you can obtain a legal assistant or petition preparer to complete the kinds for you. These people are not authorized to offer lawful recommendations. Rather, all they can do is complete papers. If you hire a request preparer, this individual ought to not address any kind of legal inquiries. Do not allow him or her to authorize a file. Do not pay them for court fees.

Filing for bankruptcy is stressful and challenging. The choice as to whether to make use of a lawyer must be taken really seriously. You will certainly have lots of concerns throughout the process, and also if you make a mistake, your case can be dismissed immediately. Because of the long-term legal as well as financial consequences, you need to strongly take into consideration getting sound legal suggestions.

Chattanooga Bankruptcy Specialists from McKoon, Williams, Atchley & Stanley, PLLC will help you understand your options. Our services range from debt consolidation to representing your interests in bankruptcy court – and everything in between. Once you contact us, our experienced lawyers will guide you during this difficult time to help you make the best choices possible given your circumstances. We will show you what legal options you have to shield you from harassing creditors and inform you about all the benefits and drawbacks of each option you may want to consider.

Never Do This In High Net Worth Divorce in Tennessee

Separations are never ever easy or pleasant. There are so many variables that both parties need to take into consideration, such as sharing or splitting of properties, who obtains what, what will happen with the children, the vehicles, alimony, your house, visitation rights … this list is endless. Sometimes divorcing couples find out they may agree on some points, but not on others, and neither feels they ought to find a compromise or make concessions.

Time for an attorney? Absolutely. Even during a simple consultation you can find answers to important questions, so it’s definitely worth your time. and also it is well worth the moment. Compared to what one could lose (financially and or else) from making a mistake — because of not knowing the divorce legislation or a psychological breakdown in a time of tension, the price of excellent lawful advice pays for itself many times over.

This is particularly true for cases which include large amount of money, assets, residential property and business – like high net worth divorce with much higher potential for mistakes on both sides. It could be really emotional and stressful, which’s not the best mindset to make choices that lead to best long-term benefits. Consequently, it’s easy for either party to say or do things they may regret later, or to sign documents prepared by another party that are not in your best interests.

After tens years of professional experience and tons of solved divorce cases, McKoon, Williams, Atchley & Stanley attorneys are sharing tips for successful high net worth divorce and what you should never do to make the procedure run smoothly.

1. Agreeing to Anything Just to Get the Divorce

People may strive to get divorced as soon as possible for a number of reasons. The most common of them is, for example, a situation, when one person in a divorcing couple feels emotionally exhausted and like he/she just cannot stand the ex spouse anymore. The other reason is falling in love with another person and striving to get “free” as soon as possible. Whatever is the reason of your divorce, accepting terms such as alimony, or division of assets and liabilities in a hurry just to move away quickly could have destructive effects on you financially. Therefore, it is important that a complete analysis be taken prior to settling your divorce.

2. Failure to Appropriately Account for Possessions as well as Liabilities

When you get divorced you will have to fill out a financial affidavit and also provide specific records regarding your financial situation required by the law. It is essential to take this inventory seriously and make sure all details are relevant and accurate. It is time consuming and also tedious to put these things with each other, however failure to do so properly could leave you holding onto liabilities that should not be yours or your giving up assets or alimony you should not be obligated to give up.

 

3. Hiding Possessions

Some spouses think they are clever and also move their valuable assets to a 3rd party such as a company partner or youngster from a former marriage. Transfers like these can (and also more than likely will) be reserved as deceptive and you will lose the most vital thing you have in a court– your reputation. From that point forward you are in a losing position for everything else related to a proper or reasonable divorce settlement. It’s just not very smart and ineffective.

4. Failure to Consider Tax Consequences

When you divorce and you receive certain assets you could be taxed on distributions or you could agree on an alimony amount based on your budget without considering how much you will actually clear after taxes.  Tax considerations are a critical component of a high net worth divorce.

5. Working With A Wrong Lawyer

It is critically important that when you are going through what is probably the most emotionally devastating experience in your life, that you have a lawyer that is going to help you think clearly, strategically and guide you through the legal minefields so that once the dust has cleared, you will have a bright and financially secure future.Our divorce lawyers in Chattanooga, Tennessee provide exceptional service for those seeking soldiers relief or divorce mediation as an alternative to a standard divorce. Our divorce attorneys are more than happy to provide you with information on legal separation, amicable divorce, and common law marriage. There are many different important legal issues that you and your ex-spouse to be must find answers for. Even though it may seem impossible to come to an agreement on important aspects of the divorce, it is essential and our divorce lawyers are here to help you – just contact us today.

Main Misconceptions About Estate Planning

Many individuals delay estate planning due to the fact that they believe it is too expensive or complex for them as well as not very important for their family. Nonetheless, estate planning does not certainly need to be tough, and the typical person can and should have an estate plan that is conveniently understandable and doesn’t cost a lot. In this post, McKoon, Williams, Atchley & Stanley explain main misconceptions about estate planning for Chattanooga citizens.

Misconception #1: Estate planning is only concerning money.

Although finances could be the main reason for creating a will or trust, estate planning influences family members far beyond the handling of funds. Such plans simplify the life for your relatives during a time of loss and despair. A well-balanced strategy permits you to share your wishes as well as values after your passing away, assists your beneficiaries stay clear of a lengthy as well as costly probate procedure, and reassures relatives that they are doing just what the person would certainly have desired. In the first place, estate planning is about family, legacy, and also love.

Misconception #2: Estate planning is expensive as well as lengthy.

As a matter of fact, it’s just the opposite. Regardless of the initial cost of involving a lawyer to draft records, great estate planning saves both time and money in the long term. Without an estate strategy, your heirs will be entrusted to sustain probate, which is prolonged and also entails lawyer costs throughout the procedure.

Myth #3: Estate planning is only for wealthy people.

Possibly the most usual estate planning misconception is that the common household does not have an “estate.” Actually, an estate describes things you have, such as a residence, a car, or a saving account. Establishing an estate plan not just offers direction, yet offers advice for loved ones throughout a difficult time. An estate strategy makes sure that:

  • Your financial resources are managed if they become incapacitated
  • Decisions concerning the health care will be accomplished as planned
  • Children and also other heirs will be taken care of

Misconception #4: Estate planning is not urgent.

An estate plan is necessary for individuals of every age. A comprehensive estate strategy consists of files to attend to medical care needs in instance you end up being incapacitated, it permits financial responsibilities to be resolved if you are not able to do so in situation of disability– short- or long-term. Most important, these records reveal your wishes regarding who must take care of your youngsters if you are unable to. It might not really feel urgent, however an estate plan is a very useful present to your family.

Misconception #5: If I pass away without a will, the state will obtain my possessions.

There are several reasons to prepare a will, but worry over the state’s taking your household’s inheritance must not be among them. If somebody passes away without a legitimate will, then state law works– and also every state has its own inheritance guidelines. Typically, the spouse and kids of the deceased was initially to inherit. In some states, a surviving spouse and small children share the dead parent’s properties, which could cause a little one’s inheriting a significant portion of his/her moms and dad’s properties. That alone is a great reason to create a Will: you probably don’t want your eight-year-old to acquire one fourth of your checking account.

So, do properties ever before go to the state? Yes, but only when no relatives can be found, which is extremely rare. As long as a family member can be situated, regardless of exactly how distant, the state could not inherit your assets.

Misconception #6: I require just a standard will.

A standard will, such as one that you could complete using the internet resources, is definitely much better compared to no estate strategy. As well as if you never get around to creating even a basic will, the state has a default strategy currently in place for you. Unfortunately, the state’s strategy may be completely opposite to what you want or dream. Plus, all your probate assets will refer public record, and complying with the state’s default plan will likely be slow as well as expensive.

Misconception #7: Married couples don’t require an estate planning.

Of course, if you have been married for a great amount of time and saved reliable and trusting relationships between each other, you may have already discussed the question of distribution the property. Although it seems to you quite simple, you should not skip estate planning altogether. Under regular situations, any kind of collectively held assets will pass to the surviving spouse after the death of the initial partner. Nevertheless, exemptions could easily arise, such as the following:

  • The surviving partner remarries
  • One spouse would like particular residential property to be transferred to their kids, their parents, or a sibling, for example
  • Both spouses pass away simultaneously

As you see, an estate plan is not just a “plan B” – it is a necessity, especially if you have minor children. If you live in Tennessee and own real property (such as a house) or have other property, it is important that you work with an attorney who is knowledgeable about Tenneesee probate law and will advise you on which estate planning documents will work best for you.

McKoon, Williams, Atchley & Stanley, PLLC is a firm that specializes in estate planning, probate, tax controversies, and business transactions. We provide comprehensive estate planning, tax planning, business succession planning, charitable planning and wealth transfer services to you and your families.

Estate Planning by Nick Youngson CC BY-SA 3.0 ImageCreator

Importance Of Buy-Sell Agreements For Your Business

In any organization with several owners, there is a great chance that at some point, one or more of those proprietors may not be affiliated with the company, whether by choice, death, bankruptcy, or divorce. For business owners it is necessary to prepare for this ahead of time, to ensure that when one of these situations occur, there is a pre-existing agreement that sets out a legal way to deal with the circumstances. The best means to do this is with a buy-sell agreement.

A buy-sell agreement is a contract between business owners that determines who has a right to purchase a leaving proprietor’s share of business and establishes a fair price for the owner’s stake. The contract might likewise give procedures to fix disagreements when a bulk of the proprietors yet not all of the proprietors make a decision to offer the business. Here are some reasons that you, as an entrepreneur, don’t want to stay in business with other individuals (even household) without a buy-sell contract in place:

1. Ability to choose partners.

if you do not have a buy-sell arrangement in place, your partner’s stake in the business can be transferred to third-parties for many factors: your companion decides to market, declares bankruptcy and is compelled to sell, passes away, or gets divorced and also his partner winds up with some or every one of his shares. In this occasion, new partners will step in and typically they are the people you don’t want to rely on. This may threaten your business’s ability to continue on its current course.

2. Get bigger stake.

If one of your partner decides to quit, you have a method of getting his stake in the business so that he lose the capacity to influence the business after he is no longer entailed. Buy-sell agreements often require that an owner needs to market his stake back to the company or other partners. Also, given that buy-sell contracts supply a system for figuring out a fair rate in the departing partner’s stake, there’s no chance for an ex-partner to extort an unreasonably high sum on his way out.

3. Decrease your estate tax.

The valuation method proposed in a buy-sell agreement serves not only for purposes of an eventual sale, but likewise for estate tax valuation.  Independently possessed services are hard to value. A proprietor’s concept of a company’s well worth at his death could be much less than the IRS’s. Nevertheless, if you have a buy-sell contract in place, as long as such contract is a bona fide arms length transaction, you could utilize the method consisted of in that agreement as evidence as to just how business should be valued. However if no process for valuing the business has actually been put into location, the IRS will certainly be cost-free to establish its very own value.

4. Protection Of Shareholders

It could secure minority shareholders from being cheated out of the proceeds of a sale of business. For example, after the sale of the business, the minority proprietors will certainly be entitled to the exact same cost each share as the bulk owners. This prevents bulk shareholders from conspiring with a purchaser of the business and also drawing out a control premium from the purchaser to the detriment of the minority shareholders. On the other hand, such agreements prevent minority shareholders from vetoing a sale of the business. If it includes a drag along stipulation, then a bulk of proprietors can force the entire business to be sold. Without this, it is possible that even a 1% proprietor can hold up a whole bargain, possibly to extort the other owners for a greater portion of the sales proceeds.

5. Protect Your Family Members

Among the most likely reasons to leave your own business or transfer your stake is disability or, what is worse, fatality. In such cases you will probably not be capable of working out in behalf of your family. Your relatives family will need and should be paid the fair worth for your hard work and efforts you put  into the development of your company. If there is no buy-sell contract in place, the other owners may be reluctant to pay a reasonable quantity for your risk and also are most likely to at least negotiate against your family members. A buy-sell contract ensures in a pre-agreed way that the work you take into your service deals with the people you appreciate a lot of.

A buy-out between co-owners of a business (including redemption of shares by the business entity) is often routine, but it can be the result of a tense, stressful negotiation. McKoon, Williams, Atchley & Stanley, PLLC is experienced in both these situations, and for those clients who wish to plan ahead, we help avoid the disruption that a hostile buy-out negotiation causes by drafting a buy-sell agreement ahead of time. Contact us if you are looking for a lawyer, schedule a consultation. (Please do not include any confidential information in your inquiry.)