Will the Judge approve my bankruptcy?

A frequent concern of clients starting the bankruptcy process is whether their bankruptcy will "go through" or if "the judge will approve it."

Chapter 7

For debtors who honestly disclose their assets, property, and financial transactions, chapter 7 bankruptcy tends be an objective and predictable process. In many chapter 7 bankruptcies, no matter ever comes up that even requires bankruptcy judge review.

Higher-income debtors might face a challenge to eligibility raised by the bankruptcy administrator. For more information, see our content about Means Testing.

Chapter 13

The biggest question for chapter 13 is whether the chapter 13 plan is workable: (1) the debtor can pay as proposed, and (2) the plan can be confirmed. The plan payment is proposed by the debtor, and the debtor will know going into the case what he or she has to do in these regards. Most chapter 13 plans contain conventional terms that reflect well settled law. For example, there is little question that a debtor can propose a plan that catches up missed mortgage payments over the life of the plan while continuing the ongoing mortgage payment. In short, a chapter 13 debtor will know going into the case what has to be done to make it work and if there are any significant risks.

In summary, bankruptcy is generally an objective process. If you comply with the law and requirements for being a debtor, you get the relief you seek. You seldom must pled your worthiness for relief. Federal law says that everyone is presumed worthy.