subject: Mcfarlin & Geurts Discharges $6.8 Million In Record Consumer Bankruptcy Case [print this page] In January of 2010, in the largest consumer bankruptcy case filed by the firm, McFarlin & Geurts successfully discharged over $6.8 Million in consumer and small business debt. The debtor had been an owner of various auto dealerships in the western United States. The debt was a combination of business debt and consumer debt, however most was attributable to the auto dealerships. After the filing of his chapter 7 case, the debtor received the benefit of the automatic stay which makes it unlawful for creditors to attempt to collect on the debt included in bankruptcy in any way. The automatic stay prohibits creditors from taking any action against the debtor including lawsuits, wage garnishments, bank levies, and even collection letters and phone calls.
Attorney Timothy McFarlin commented on the case saying, we are proud to have been able to bring this level of relief for our clients, obviously no business or consumer wants to file bankruptcy, but it is a necessary part of our economic system. Without bankruptcy, people wouldnt take risks and innovate new products or ways to deliver services efficiently. McFarlin goes on to explain, after this nearly $7 Million dollar case, other bankruptcy cases just seem like childs play. It is notable that most chapter 7 cases filed in the Central District of California average between $20,000 and $100,000 in total unsecured debt, including credit cards.
Although it may be a difficult decision, bankruptcy is an excellent option for many consumers and businesses facing difficult economic circumstances. As a general rule of thumb, if total debts exceed total assets, a person should strongly consider bankruptcy as an option to relieve the burden of debt and get a fresh start. Consumers considering bankruptcy can call McFarlin & Geurts for a free confidential consultation with an attorney about bankruptcy, short sales and other possible options for dealing with debt.
