Consider the following scenario and questions for your assignment.
The firm’s client, Clem Client, wishes to file for bankruptcy in your jurisdiction.
Clem earns $47,000 per year, has credit card debts of $12,000, court judgments totaling $8,750 and does not own real estate. He has a car, valued at $8,000 and a $5,700 car loan.
Prepare a letter to the client which includes:
- Completed “means test” for Chapter 7 bankruptcy which can be found at the United States Bankruptcy Court website.
- Discuss in detail whether or not Mr. Client qualifies for Chapter 7 filing.
- If he did not qualify for a Chapter 7 filing, discuss what other options does he have?