Common Forms of Bankruptcy

Edward Adams
Image: law.umn.edu

As the Howard E. Buhse professor of law and finance and director of CLE programs at the University of Minnesota Law School, Edward Adams lectures on bankruptcy and bankruptcy theory in his classes.

The two most commons form of bankruptcy are called Chapter 7 and Chapter 11. Chapter 7 bankruptcy is filed by individuals or businesses whose income is insufficient to form a repayment plan. In Chapter 7, some of your assets are sold off to pay down your debt. In return, debt for which collateral has not been pledged, most often credit card debt or medical bills, is forgiven and erased.

If you have filed Chapter 7 and you owe on debt classified as secure (for example, a car loan), you have the option to allow the creditor to repossess the property or to continue to make payments if the lender agrees.

Chapter 13 bankruptcy is filed if the individual’s income is sufficient to form a repayment plan. In this form of bankruptcy, you are expected to repay your debts in three to five years.

“Brag for the Rest of Your Life!”

Ironman Triathlon
Image: http://www.ironman.com

Edward Adams, acting general counsel for the Devenir Group, LLC, has developed a global reputation for his legal proficiency in such areas as bankruptcy, entrepreneurship, corporate law, and secured transactions. He also holds a professorship at the University of Minnesota Law School, as well as a partnership at Adams Grumbles, the St. Paul-based firm he co-founded in 2014. When not attending to his professional responsibilities, Edward Adams enjoys numerous interests, including writing, coaching baseball, alpine skiing, golf, and triathlons.

The Ironman Triathlon, a grueling event consisting of a 2.4-mile swim, a 112-mile bike race, and a full marathon of 26.2 miles, was conceived in late 1977 as a way of settling a perennial argument: Of distance runners, bicyclists, and swimmers, which athletes are the toughest? US Navy Commander John Collins and his wife Judy proposed the event while attending an awards banquet for a local competition. The course they devised essentially included three local contests – the 2.4-mile Waikiki Rough Water Swim, the 112-mile Around Oahu Bike Race, and the standard 26.2-mile Honolulu Marathon.

Collins rose and issued a public challenge to all comers. “Whoever finishes first,” he announced, “we’ll call him the Ironman!” The rules for that first race consisted of a few typewritten pages. On the last page was this handwritten inscription: “Swim 2.4 miles! Bike 112 miles! Run 26.2 miles! Brag for the rest of your life!”

Only 15 participants joined that first Ironman, run in February 1978, and 12 finished. John Dunbar, formerly a Navy SEAL, led most of the way, but in the last few miles of the marathon, Dunbar’s crew ran out of fresh water. Desperate, his crew gave Dunbar an alternate beverage with a high water content: beer. Within a few moments, Dunbar was visibly inebriated, stumbling along the course and careening into parked cars. With only five miles left to run, Honolulu cab driver Gordon Haller passed Dunbar and held his lead to finish the race.

What Bankruptcy Can and Cannot Do for Individuals in the United States

Bankruptcy
Image: blog.nolo.com/bankruptcy

Edward Adams teaches law and finance and directs CLE programs as the Howard E. Buhse Professor of Law and Finance at the University of Minnesota Law School. In addition to his teaching duties, he serves as acting general counsel for the Devenir Group, LLC. Edward Adams is known for his expertise in corporate finance and law, secured transactions, entrepreneurship, commercial paper, and bankruptcy.

The concept underlying bankruptcy is that at some point, the weight of debt becomes onerous, and the debtor should be able to “wipe the slate clean” and start anew. Bankruptcy is the legal process by which this is accomplished. The United States Bankruptcy Code recognizes six different types of bankruptcy, two of which, Chapters 7 and 13, are most commonly used by individuals.

A bankruptcy can eliminate certain kinds of debt, especially unsecured debt, such as most credit card debt, revolving lines of credit in stores, and signature loans. Under Chapter 7, most of the debtor’s assets are liquidated and the proceeds used to pay off secured creditors. Some assets, like clothing, furniture, and an automobile, are exempt from liquidation. After the proceeds of the liquidation are exhausted, balances due on secured debt are eliminated. A debtor must pass a means test to qualify for Chapter 7; if his income is too high, he must file Chapter 13.

Under Chapter 13, debtor with reliable, steady incomes submit a plan to the court under which debts are paid off, usually over a longer period of time than provided in the original loan, often 3 – 5 years. Chapter 13 filers generally get to keep their assets; however, they must also pass a means test as to the extent of their indebtedness.

Bankruptcy can erase unsecured and even some secured debt, as well as stop collection efforts. It cannot, however, eliminate or reduce amounts owed for child support, student loans, alimony, or taxes due. Some debtors are able to renegotiate such items directly with their creditors.

Reasons to Attend the University of Minnesota Law School

Edward Adams is a partner at Adam Grumbles, LLP, a law firm launched in 2014. He has served as a professor of law at the University of Minnesota Law School since 1992 and also teaches courses in the MBA program at Carlson School. Edward Adams is internationally recognized for his work in corporate finance and corporate law.

Ranked as a first-tier school, the University of Minnesota Law School offers many advantages to students embarking upon legal careers. Three of the best reasons to attend the University are practice, location, and community.

The University of Minnesota Law School emphasizes experiential learning and offers one of the country’s largest clinical education programs. Additionally, the school offers a unique first-year Law in Practice opportunity, numerous corporate externships, and the choice of nine concentrations. As for location, the Twin Cities is one of the country’s most literate and energetic areas, with many distinctive neighborhoods and access to federal, state, and local courts as well as the state capitol. Finally, the law school and the larger university boasts a welcoming and supportive community of students who are both serious, accomplished scholars and eager mentors.

Mount Olivet Lutheran Church in the Twin Cities Area

Minnesota-based attorney Edward Adams is a partner at the law firm Adams Grumbles, LLP, in Minneapolis and also teaches at the University of Minnesota Law School. Among the organizations Edward Adams supports is Mount Olivet Lutheran Church.

Serving the Twin Cities for more than 90 years, Mount Olivet Lutheran Church is well known for traditional worship services and a great variety of programs. The church offers services at two main campuses in Minneapolis and Victoria, and also works through six affiliated ministries, which include Cathedral of the Pines Camp and Mount Olivet Rolling Acres. The church seeks to uphold its mission of being a servant organization that makes a positive difference in the local community and the world at large.

For those interested in joining, Mount Olivet Lutheran Church offers regular new-member orientation sessions held at one of the two main campuses. Prospective members may sign up to attend an orientation date at the website, http://www.mtolivet.org, or they can contact the church.

About the Mount Olivet Lutheran Church Garden

Licensed to practice law in Minnesota, Edward Adams is a partner in Adams Grumbles, LLP. Outside of his work in the field of law, Edward Adams supports Mount Olivet Lutheran Church, donating a garden to the institution in memory of his parents.

Voted the Best Congregation Raingarden by Metro Blooms, the garden at Mount Olivet Lutheran Church was designed and continues to be maintained by Laura Morrill. When selecting plants, Ms. Morrill keeps in mind the health of surrounding bees and other wildlife. As such, the garden does not contain plants sprayed with herbicides, pesticides, or neonicotinoids.

The garden is irrigated via large storm-water retention pipes, which collect rain during heavy downpours. Before the installation of the pipes, rainwater ran off into main sewer systems and nearby waterways, but the pipes now allow the water to filter slowly into the ground, keeping the landscape lush and green.

To learn more about the Mount Olivet Lutheran Church garden, visit http://www.mtolivet.org.

Geography a Big Factor in Lawyers Making Partner at Big Firms

Internationally recognized for his experience in corporate finance and law, Edward Adams serves as a professor at the University of Minnesota Law School. Edward Adams is committed to remaining updated on developments in the legal field, such as a new study that discovered a correlation between a lawyer’s success in becoming a partner at a major law firm and the geographical distance between law schools and partnering firms.

The study examined 33,000 lawyers from 115 of the largest law firms in the country, and compiled data based on their position at their firm and the institution from which they received their education. Individual law school factors taken into account include its prestige, number of alumni serving as partners, and the distance from major partnership prospects.

According to the study, a considerable percentage of law partners did not necessarily earn their education from the highest-ranking institutions. The study instead found that the institution’s proximity to major law firms played a bigger role in attorney advancement than its level of prestige. For instance, the alumni records of six mid-tier academies with close ties to New York and Washington legal markets displayed higher instances of partnership advancement than records from higher ranking schools.

The Care Ministry at Mount Olivet Lutheran Church

Edward Adams, a professor at the University of Minnesota Law School, is a member of the Mount Olivet Lutheran Church in Minneapolis, Minnesota. Through donations and service, church members like Edward Adams can contribute to Mount Olivet’s care ministry programs, which bring charitable goods and services to people in the Minneapolis area.

The care ministry of Mount Olivet offers members the opportunity to volunteer through its community outreach programs. Participants may give their time to endeavors like the church’s hunger task force, which prepares dinners and sponsors food drives, or the Angel Gift program, which delivers food, personal items, and gifts on Palm Sunday to inner-city families, as well as to homebound members of the congregation.

Mount Olivet also sponsors a task force for mental health. It brings together 20 members, including professionals from the healthcare industry, to raise awareness about mental illness in the local community. Additionally, the church offers a counseling service to both members and nonmembers in order to promote the healing of anxiety, depression, guilt, anger, or pain.

The Role of Intellectual Property Lawyers

A professor at the University of Minnesota Law School, Edward Adams has over 25 years of experience in the legal sector. In addition to teaching, Edward Adams is partner at a law firm that specializes in corporate advisory and intellectual property law.

An intellectual property lawyer is a legal representative for owners of property that results from mental labor. Commonly divided into two categories, intellectual property law consists of industrial property and copyright. Industrial property includes patents for inventions, industrial designs, trademarks, and geographic indications of source, while copyright includes literary and artistic works.

People who might use an intellectual property lawyer include authors, song producers, or painters whose work has been copied without permission in order to make a profit. Inventors may seek out an intellectual property lawyer in order to correctly and legally prepare and file a patent application. Additionally, a corporation may also hire an intellectual property lawyer in the interest of not infringing upon the rights of another company.

An Overview of the Chapter 7 and Chapter 13 Bankruptcies

An experienced legal professional, Edward Adams is a professor of law and finance at the University of Minnesota Law School and a partner at a law firm serving start-up companies. At the University of Minnesota, Edward Adams teaches a range of subjects, including banking law and bankruptcy.

When individuals take on too much debt and cannot repay their creditors, they may file for one of the two types of bankruptcy. Although both types include some kind of debt elimination, there are a number of notable differences between Chapter 7 and Chapter 13 bankruptcies.

-Chapter 7. During this type of bankruptcy, the debtor’s nonexempt assets are sold to pay creditors. The debtor is usually allowed to keep most of his possessions and may keep any wages or purchases made after the bankruptcy process. Although the debts discharged as a result of the bankruptcy filing no longer need to be repaid, the bankruptcy itself stays on the debtor’s credit report for up to 10 years, during which time it is nearly impossible to get approved for major credit purchases, such as mortgages.

-Chapter 13. Unlike Chapter 7, Chapter 13 bankruptcy creates a plan for the debtor to repay debts over a period of three to five years. One advantage to Chapter 13 is that property is not sold to pay creditors, though regular payments, such as mortgages, must still be paid during that period. A debtor is eligible for this type of bankruptcy only if his or her secured and unsecured debts are below maximum amounts. Like Chapter 7, Chapter 13 bankruptcy stays on a person’s credit report for up to 10 years.