What To Look For In A Bankruptcy Or Criminal Defense Attorney In Kansas City

Posted on by

My wife and I enjoyed watching the TV series Breaking Bad on AMC, and we were sorry to see it end.  One of the amusing characters on that show was the character of Saul, a dodgy individual who will do just about anything.  His catch phrase on his advertising is “Better Call Saul.”

Although he was a caricature, and his antics were there for humor value, there is an important point to be made here:

In legal work, there are no shortcuts, “magic wands,” or angles.

To get outstanding results for a client, hard work, real world litigation experience, and expansive legal knowledge are necessary.

One of the general questions that I am often asked by people who are not attorneys is this: what should a person look for in an attorney?  

Our firm is occasionally hired by clients who have hired a different attorney first, and then because of ongoing issues with that attorney, have decided to replace them and hire our law firm.  They usually give us the reason or reasons why they are replacing that attorney. Over time, you start to see patterns.

Here are my thoughts on what I think are three of the most important things to look for in bankruptcy and criminal defense attorneys:

Competence

In hiring any professional, probably the first thing you should look for is are they experienced and are they good at what they do.  Questions like these are important:

  • How much experience do they have?
  • Are they dabblers in many different areas of the law, or do they focus their practice on one or two areas of the law?
  • Do they have extensive trial or litigation experience?

At Phillips and Thomas LLC, each of our attorneys each has a minimum of 17 years experience in the fields that they practice in, and our attorneys limit themselves to just a couple areas of the law.

When an attorney has the experience in the trenches and knows what he or she is talking about, it is very clear.  

By focusing on a few areas, our attorneys are able to keep update on all of the most recent trends.

We have also done numerous jury trials at the federal and state levels.  Not many attorneys can say this.

Additionally, I think one of the biggest compliments an attorney can be paid is a referral from another attorney or former client.  Most of our business comes from referrals from other attorneys or former clients.

Also, we have currently, and have had in the past many clients who are attorneys themselves.  I think it is a great sign when other attorneys respect a peer enough to hire him or her to handle their own legal issues.

Communication 

Will your attorney actually talk with you or timely call you back when you leave a message? Will he or she answer your questions in a way that is understandable?

Probably the biggest complaint we hear from people is that their former attorney would never timely update them on the progress of their case, or return their phone calls or emails.  Unfortunately, this seems to run rampant in our profession.

The biggest excuse seem to be that they are “too busy”,  which we think is nonsense.  Everyone is “busy” in modern society.  It is critical to update clients on their cases and call them back promptly.

We at Phillips and Thomas LLC feel that this is inexcusable.  We believe that if you are retaining an attorney to do legal work, you should be able to communicate with that actual attorney in a timely manner.  If we are in the office and not with a client, we will talk with you on the phone or answer an email.

Trust

Trust is built in a relationship over time.  Many of our clients have been with us for a great number of years.  We know them well, and we know their challenges.  Our clients trust us because they know we fight for them and have a proven track record in courtroom trials.

If we are not available the moment you contact us, we will return that phone call or email immediately, almost always that same day.  Additionally, at Phillips and Thomas LLC you will always talk with the actual attorney handling your case regarding a question you may have.  You will never be sent to a paralegal or secretary to answer legal questions.

If you live in the Kansas City metro area and you would like to meet with one of our attorneys concerning your debt problems, bankruptcy questions, or criminal defense issues, please call us at 913-385-9900 or email us at phillipsandthomas@gmail.com to schedule a free consultation.

Read More:  About Our Law Firm

DUI And DWI Cases In Johnson and Wyandotte County Kansas

Posted on by

Overland Park DUI Attorney

The holiday season is in full swing, and with it comes the unfortunate possibility of being stopped for the offenses of driving under the influence (DUI) and driving while intoxicated (DWI).  Driving (or “operating” a vehicle) while over the legal limit is considered “intoxicated”, while operating under that limit is considered “under the influence.”

Continue reading →

The “New Value Exception” To The Absolute Priority Rule In Chapter 11 In Kansas City

Posted on by

How does the absolute priority rule of Chapter 11 play in the confirmation process?  Are there any exceptions to it?  Can the owners of a company retain their equity interests in a Chapter 11 plan?  The Tenth Circuit (Kansas) adheres to the doctrine that the absolute priority rule of Chapter 11 applies in individual cases.

The absolute priority rule comes into play during the Chapter 11 plan confirmation process.  Under Bankruptcy Code § 1129(b)(1), a creditor’s plan objection will be upheld if the plan: (1) discriminates unfairly; or (2) is not fair and equitable with respect to each non-accepting class of claims or interests that is impaired under the plan.  In this context, “impaired” means that the plan alters the rights of a class of creditors compared to the contractual rights prior to bankruptcy.

For a dissenting class of impaired unsecured creditors, a plan is “fair and equitable” only if the allowed value of the claim is to be paid in full, or if the holder of any claim or interest that is junior to the dissenting creditors will not receive or retain any property under the plan on account of such junior claim or interest.  See 11 U.S.C. § 1129(b)(2)(B)(ii).  This condition is generally referred to as the absolute priority rule.

The new value exception solves the problems created by the absolute priority rule.  The new value doctrine opens the door for plan proponents to overcome the absolute priority rule by requiring equity holders to make a substantial and essential contribution in exchange for their continued ownership of the debtor.  To be substantial, most courts require that the contribution (i.e., new value) be: (1) a present contribution; (2) freely tradable in the market; and (3) money or money’s worth.  To be essential, the case law generally mandates that this new contribution be directly related to the success of the reorganization plan.

The absolute priority rule was originally a judicially created concept; that is, it was created by case law.  In practice, it provides a much needed way to resolve the problems created by the artificially strict barriers created by the absolute priority rule.  Anyone considering filing a Chapter 11 bankruptcy case, or any type of bankruptcy case in general, should contact Phillips & Thomas LLC for a free consultation of their options.  

Read More:  Voluntary And Involuntary Chapter 7 And Chapter 11 Bankruptcies In Kansas City

 

Don’t Obsess About Credit Scores In Kansas City

Posted on by

One of the things that people get worked up about sometimes is the idea of the “credit report” score.  I think part of this stems from media propaganda that there is some magic scorecard of everyone’s life out there in cyberspace.  In practice, this just isn’t true.  The reality is that people filing for bankruptcy need to do it because they need to fix major financial issues.  The last thing people should be worrying about is a credit score.

Filing a bankruptcy case actually wipes the slate clean, and gives you a fresh start.  It doesn’t put you in the “doghouse” or put you in any worse situation than what you currently have now.  So, it is important to keep the big picture in mind.  The big picture, and the goal, is to get out of the debt problems.  Our clients are able to get loans during a bankruptcy, and after a bankruptcy.

Taking action to solve a problem is always better than doing nothing.  Taking action will make you feel better, empower you, and help you back on the right track.  Doing nothing, and waiting for phone calls, garnishments, and liens to hit is not the right way to go.  Give us a call and we can give you our thoughts on your situation.

Read More:  Voluntary And Involuntary Chapter 7 And Chapter 11 Bankruptcies In Kansas City

Representing Yourself In A Bankruptcy Case Or Criminal Case Is Always A Bad Idea In Kansas City

Posted on by

Overland Park Bankruptcy Attorney

The Kansas City Star today had an article about the perils of self-representation.  The article can be found here:

http://www.kansascity.com/2013/09/25/4506213/take-a-hint-dont-represent-yourself.html

I thought this would be a good time to offer my thoughts on this.  Whether you are dealing with a civil, bankruptcy, or criminal case, representing yourself is never a good idea.  From working in the courts and in the legal profession for 15 years, I can tell you with certainty that this should never be done.  Why?  Let me count the ways.

Continue reading →

Individual Chapter 11 Cases And Business Bankruptcy In Kansas City

Posted on by

Overland Park Business Bankruptcy Attorney

One of the trends we’ve been noticing in the past year or two is the increasing use of the “individual” Chapter 11 case.  Chapter 11 bankruptcies can be filed by businesses or individuals.  Usually an individual Chapter 11 case comes about when a person either has too much debt to do a Chapter 13 case, or has some other specific reason to be in a Chapter 11.

We’re seeing more professionals (dentists, doctors, lawyers, accounts, architects, etc) file Chapter 11 cases.  Why?  Because you can do things in Chapter 11s that you can’t do in any other chapter.  You are basically your own trustee.  You have a lot of flexibility in proposing a reorganization plan.  You can do “cram downs” on things like real estate or vehicles or business equipment that you can’t do in any other type of bankruptcy.  So, it’s a very powerful tool to have.

People with real estate portfolios are also finding that Chapter 11 is a great way to get the mortgage creditors to accept a restructuring of the mortgages, so that you are only paying what the house is worth, not what you owe.  No other type of bankruptcy can do that.  We have handled real estate Chapter 11 cases (both personal and business cases) and are experienced in the issues that come up in such cases.  Most consumer bankruptcy attorneys are not experienced in Chapter 11 cases, so it is important to have counsel who will know the nuances of this area of the law.

Upon the filing of the Chapter 11 bankruptcy petition, the debtor, be it a business or an individual, becomes a debtor and debtor-in-possession. The debtor-in-possession has the majority of the rights and responsibilities of a bankruptcy trustee. The debtor-in-possession can file actions with the bankruptcy court to avoid transfers of money to creditors, obtain loans for the debtor, and accept or reject contracts.  Although nearly all of the debtors who file Chapter 11 cases are actually unable to pay their debts as they become due, there is no requirement that debtors be in any particular financial condition in order to file.  That is, a person or corporation does not have to be insolvent in order to file a case.  A debtor can file a case even if the debtor is solvent.  A debtor can file a Chapter 11 case even if the value of the debtor’s assets exceeds the amount of the debtor’s liabilities and even though none of the debtor’s obligations are currently in default.

Chapter 11 cases are complicated.  If you are thinking about reorganizing your real estate portfolio, are a professional in need of some financial help, or just want to get information, please contact us.  We can help.

Read More:  Utility Service And Bankruptcy

Advantages In Treating Taxes And Student Loans In Chapter 13 Or Chapter 11 Bankruptcy

Posted on by

There can be tremendous advantages with paying back unpaid taxes or student loans in a Chapter 13 or Chapter 11 case.  In fact, bankruptcy is one of the most underappreciated tools of taking care of tax or student loan issues.  The big benefit comes in the fact that tax creditors (IRS, state government, or municipal government) have to file a proof of claim in a case.  Taxes are broken down into priority and nonpriority portions, and very often the nonpriority portions of the tax debts receive nothing.  This can save a debtor thousands.  We have seen cases where a debtor has over $50000 in tax debt and pays back only a tiny fraction of that.

Regarding student loans, it is often not understood that reorganization plans can be proposed and confirmed that allow for the loans to be paid at either 0% interest, or receive all of the “pot” that would normally go to other unsecured creditors.  Every case is different, and you really need to consult with us to find out how these rules and options apply to you. But the bottom line is that you need to consider the bankruptcy option.  It gives you a lot more power and flexibility than you think.

Read More:  Selling Bankruptcy Estate Property

Bankruptcy Attorney On The Radio In Kansas City

Posted on by

George J. Thomas was a guest today on Carter Broadcasting’s KPRT 103.3 FM at 12:15 pm., with host Ms. Jeannie Henry.  Mr. Thomas has been a long time guest of the midday radio show at KPRT 1590 AM (103.3 FM), to talk about bankruptcy and debt issues.

This blog contains articles with detailed information about bankruptcy law and the actual process of how a case works.  Be sure to follow us on Twitter, and you will receive updates on when he will appear in the future.

Read More:  The Meeting Of Creditors In A Bankruptcy Case In Kansas City

In A Chapter 11 Case In Kansas City, What Is Affected By The Automatic Stay?

Posted on by

Overland Park Business Bankruptcy Attorney

The “automatic stay” is one of the basic protections provided to debtors in a Chapter 11 business or personal case.  It gives the debtor a much-needed breathing spell from creditors by pretty much stopping all collection activity, litigation, or contact from creditors of any kind.

In a Chapter 11 case (personal or business) filed in the Kansas City area (in either state), an automatic stay will immediately come into effect and will do the following:  (1) stop the initiation or continuation of any legal, administrative, or other proceeding against the debtor that arose before the commencement of the case; (2) stop the enforcement of any judgment obtained before the commencement of the case; (3) stop any act to obtain possession or control of property of the estate; (4) stop any attempt to perfect or create any lien against property of the estate, even postpetition liens; (5) stop the setoff of any debt against the debtor.  The automatic stay applies to all creditors, even the IRS.

The filing of a Chapter 11 bankruptcy case can be a very powerful tool to assist in a reorganization.  It has articles and provisions that other chapters of the Bankruptcy Code do not have.  If you have questions about Chapter 11 cases, please give us a call.

Read More:  Involuntary Bankruptcy Cases

Are Co-Signers For Debts Liable In A Bankruptcy Filing In Kansas City?

Posted on by

What is the definition of a “co-signer” of a debt?  This is a situation created when there is more than one person (or entity) who has signed for the debt or is otherwise liable on it.  It comes up in many situations.  For example, I had a gentleman call me the other day to discuss a situation he had in co-signing for a family member’s student loans and credit card debts.  This situation can also arise in owners of businesses, when both the business (the “entity”) and the individual owner signs for the debt.  In the metro Kansas City area, there are a huge number of different types of businesses, each with its own specific traits.

Of course, it’s in the creditor’s best interest to have as many people or business entities liable for a debt as possible.  When one co-signer files a bankruptcy case, and the other co-signer does not, the co-signer who has not filed for the bankruptcy will still be liable for the debt.  This is true regardless whether the non-filing co-signer is a business or an individual.  So, think very carefully before ever co-signing on a debt.  We understand that in many cases it is unavoidable, but you should be aware that agreeing to co-sign for another’s debt means that you are agreeing to be liable for the debt.

This type of situation can get complicated when there are both individuals and business entities (LLCs, S corporations, PAs, etc) who are responsible for a debt.  It can be very important to select the proper type of bankruptcy to file, in order to maximize your legal protections and benefits.  Please give us a call if you have any questions about this subject.  We’re more than happy to share our combined years of experience in representing businesses and individuals in these situations.

Read More:  Debts From Ponzi Schemes