Law Office of Rick Morin, PC

When a person signs their bankruptcy forms, they do so under penalty of perjury. This means that the government can prosecute a bankruptcy debtor for lying on their bankruptcy paperwork. This alone is a good enough reason to tell the truth and not hide anything. Surprisingly, omissions on your bankruptcy paperwork can have effects in other areas too.

A person filing bankruptcy must realize that the entire bankruptcy petition (except for their social security number) becomes a public record. Anyone that wants to have access to the bankruptcy filing can do so by looking at it at the courthouse or even online via PACER. I always tell my clients that they can expect to receive solicitations from car dealerships and credit card companies after they file their bankruptcy. This is because advertisers search the court docket for bankruptcy filings. Interesting, right?

There is a story circulating amongst Sacramento bankruptcy attorneys that illustrates the importance of telling the truth on your bankruptcy. A debtor filed a bankruptcy and failed to list all of their personal property on Schedule B of their petition. Schedule B is the bankruptcy form where the debtor is required to list all of their personal property, no matter how insignificant. In this case, the debtor did not list some “toys” such as expensive cameras and bicycles. Later on, a burglar stole these cameras and bikes from the debtor’s house. When the debtor filed an insurance claim, the insurance company reviewed the debtor’s bankruptcy petition — 3 years after the bankruptcy! Because the debtor did not list these assets in their bankruptcy, the insurance company denied the claim.

Your bankruptcy petition and schedules could also be introduced as evidence in litigation down the road. Again, since you have to sign your paperwork under penalty of perjury, you should make sure that it is true and accurate!

I assist all of my clients with making sure that their paperwork is true, accurate and complete. My office uses proprietary procedures and check lists to ensure that we don’t miss any details, important or not. A bankruptcy filing is a big deal, and we work hard to do the best that we can every time.

If you have any questions about filing for bankruptcy in Sacramento, please call me at (916) 333-2222. Don’t delay!