Attorney Berning Wins Adversary!

A couple met with Wisconsin Geraci Law Attorney Brent Berning for a Chapter 13 bankruptcy consultation. The couple used a credit card to pay $24,000 in tax debt. Attorney Berning explained to the couple, the credit card company would likely file an adversary arguing the debt should not be discharged (or eliminated).

After filing, an adversary was filed. The credit card alleged the entire balance of the credit card is non-dischargeable. The adversary claimed the couple committed fraud and incurred the debt 90 days before filing. Attorney Berning met with the client and reviewed options.

Counsel for the credit card company refused settlement and refused to negotiate the balance. The credit card company wanted the balance in full plus interest. Clients strongly felt the credit card company were falsely accusing them of fraud and wanted to fight.

Ultimately the case came down to the facts. Attorney Berning presented evidence proving the couple did not commit fraud. After 14 years of timely payments, the debtor lost his job and was unable to make payments. There were no prior bankruptcies and the couple did not consult an attorney before paying the tax debt on a credit card.

Attorney Berning won the adversary. If the credit card company was not so greedy, the Wisconsin couple would have agreed to settle.

The Wisconsin couple made the right choice in hiring Geraci Law and Attorney Berning. With the experience of Attorney Berning, the couple was able to save $24,000 plus interest and get a fresh start!

Author: Peter Francis Geraci, Bankruptcy Attorney and Financial Expert

Founding member of Geraci Law L.L.C., a multi-state consumer bankruptcy law firm with over 70 attorneys. One of the largest and oldest consumer bankruptcy law practices in the country. Founding member of Geraci, Arreola, and Hernandez, a personal injury law firm with landmark personal injury and medical malpractice rulings. CEO of Professional Financial Guidance L.L.C. and PFG Credit Counseling, Inc., online providers of bankruptcy debtor education and credit counseling.