John A. Flynn - Arkansas Bankruptcy Attorney

FLYNN LAW FIRM
John A. Flynn, Attorney At Law

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Services

Flynn Law Firm
104 S. 4th St.
P.O. Box 1344
Cabot, AR 72023
(501) 843-8886
flynnlaw@centurytel.net

Attorney John A. Flynn is well-versed in Bankruptcy law, having practiced in this area for nearly ten years. Mr. Flynn has thoroughly familiarized himself with BAPCPA, the 2005 Bankruptcy changes which are still commonly referred to as "the New Law." Mr. Flynn is constantly reviewing new court decisions and case law not only in Arkansas but throughout the United States so as to stay on top of developments which may benefit his clients.

Flynn Law Firm offers free initial consultations on Bankruptcy, Debt Relief and Foreclosure Defense. Our Services in these areas include:

Chapter 13:

Chapter 13 bankruptcy filing is a way for individuals in the United States to undergo a financial reorganization supervised by a federal bankruptcy court. The Bankruptcy Code anticipates the goal of Chapter 13 as enabling income-receiving debtors a debtor rehabilitation provided they fulfill a court-approved plan.

Under Chapter 13, Debtors pay a monthly plan payment designed to pay for their secured debt such as vehicles, furniture, boats, etc., as well as payments to get home mortgages caught up to being current by the end of the Plan. In chapter 13, Debtors can "cram down," certain property, that is pay towards the creditor only an amount equal to the value of the collateral plus reasonable interest known as the Till Rate (often much lower than the interest you are paying today). Any amount of debt above the value of certain property is separated into a separate unsecured debt which is discharged (wiped out) with the Chapter 13 discharge. By this method, Mr. Flynn can help you reduce the principal and interest to be paid on notes for any "upside down" assets, including cars, 4 wheelers, boats, mobile homes not on the same note as the land, even yachts, aircraft and commercial buildings! (of course, if you had those latter items, you probably wouldn't be filing bankruptcy!). In fact, the only item of property Congress forbids bankruptcy debtors to modify the debt on are home mortgages! Contact your Members of Congress and the Senate to let them know know ridiculous this is. Certain restictions apply to "cram downs" of vehicles personally used by the Debtor(s). Ask Mr. Flynn for details.

Chapter 7:

In Chapter 7 bankruptcy, individuals may discharge (wipe out) most debts except for most taxes, student loans and other types of debt. Chapter 7 is also known as "liquidation bankruptcy" as property beyond that property which is "exempt" is gathered by the Chapter 7 Trustee and liquidated with the proceeds distributed to unsecured creditors. In Arkansas, Debtors may choose between the Federal and State exemption systems. In practice, most people who take the Arkansas exemptions, ususally because they own their home free and clear or have equity in their home exceeding the Federal Exemption, are generally better off filing Chapter 13. Chapter 7 takes 3 to 6 months to complete, versus 3 to 5 years for a Chapter 13. However, where attorney fees in the Chapter 13 may to a great extent be "financed" through the Chapter 13 Plan, Chapter 7 is more expensive up front, as no provision for payment of attorney fees post-petition exists in Chapter 7. Part of the increase in costs to Debtors of both Chapter 7 and 13 is due to the extra "hoops" Congress enacted which we are still referring to as the "new law" (BAPCPA) of 2005, especially credit couseling and education requirements. Again, feel free to contact your Congressmen and Senators to discuss your views on that.

Chapter 11:

Chapter 11 bankruptcy is available to any business, whether organized as a corporation or sole proprietorship, or individual. However, it is generally not cost-effective for individuals unless they exceed the Chapter 13 Debt Limits which are currently unsecured debts of at least $336,900.00 or secured debts of at least $1,010,650.00, although it is most prominently used by corporate entities.

Foreclosure Defense

Foreclosure Defense - While the traditional method for addressing foreclosures or threatened foreclosures has been to file a Chapter 13 bankruptcy, which permits one who is being foreclosed on to pay their mortgage arrearages over a 5 year plan, an emerging area of defense to foreclosure, which Mr. Flynn has now begun pursuing, is to defend the judicial foreclosure (where you are served with a lawsuit) or the statutory foreclosure (where a Notice of Default is published in the newspaper) by forcing the mortgage servicer to prove that they have standing to pursue the foreclosure. In today's world of securitization of debt instruments, such as mortgages, and even automobile notes, many times a mortgage is transferred or sold many times before a foreclosure is initiated. In some circumstances, the mortgage holder has not done their paperwork properly, or they may not have even bought your mortgage at all. In other circumstances, a mortgage servicer is acting on behalf of undisclosed investors, which investors should be the true parties-in-interest. In some cases, homeowners have been able to walk away from their mortgages, owning their homes free and clear, for these reasons, as well as because of mortgage servicing abuses.

Defense against Debt Scavengers / Stale Debts

Let's say you've been served with a summons and complaint (a lawsuit). You're being sued by a company you don't recognize. It alleges the lawsuit is based upon a credit card you used at some point years earlier. When the original credit card issuer wrote off that account, they sold it into a secondary market of companies that buy debts at significant discounts to collect on and make a hefty profit. Sometimes companies even buy debts that are beyond the statute of limitations or that have even been discharged in bankruptcy. These lawsuits can be defended by the Flynn Law Firm directly, and if the debt was discharged in a prior bankruptcy, Mr. Flynn can sue the Debt Scavenger on your behalf for violation of the Discharge Injunction. If the last payment or charge made on a credit card or "open account" was over three years prior to the date of filing of the Complaint, the lawsuit can be thrown out on the basis of being beyond the statute of limitations. (However, some credit card companies are arguing that five years is the appropriate statutory period, though an Arkansas Court of Appeals decision and an Arkansas Bankruptcy Court decision which Mr. Flynn obtained on behalf of a Chapter 13 client in 2008, hold that three years is the appropriate period).

Flynn Law Firm - Experience You Can Trust