Legal publisher Lexis/Nexus has released its list of the top ten mistakes made by consumer bankruptcy lawyers in the post-October 17, 2005 era. Topping the list is failing to insure that the debtor has received pre-bankruptcy credit counseling. As discussed elsewhere on this blog, bankruptcy judges have been unwilling to waive the credit counseling requirement under most circumstances. A case filing without the certificate will be dismissed. For debtors filing on the eve of foreclosure, when credit counseling organizations have no space, this requirement can be a real problem.
The remainder of the problems discussed in the Lexis/Nexus report all deal with the burdensome filing and paperwork requirements of the new law. In reality, cases that are otherwise workable are being dismissed because debtors are having problems collecting necessary paperwork.
In my practice, I will not file a case until I have all the necessary paperwork in hand. This is causing delays in filing and I may be losing some business. But, given the aggressive posture of the U.S. Trustee on these document requirements, that is the way things must be.
Thanks to my colleague Milton Jones of College Park for noting this Lexis/Nexus report on his Paperless Law Office blog.