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HOW TO SAFEGUARD SENIORS FROM GRIPPING SENIOR FINANCIAL EXPLOITATION

Senior financial abuse: Introduction

Recent allegations made by 90-year-old US Senator Dianne Feinstein regarding the trustees for her deceased husband’s estate sheds light on the alarming prevalence of senior financial abuse. Katherine Feinstein, who instituted legal proceedings on behalf of her mother, alleges that Feinstein is being cut out of millions. In this Brandon’s Blog, we will not only examine the gravity of this issue but also present effective strategies to safeguard senior citizens from the clutches of scams and exploitation.

As the population continues to age and technology advances at a rapid pace, we must address the vulnerabilities that seniors face in today’s society. The alarming rise in cases of senior financial exploitation necessitates focused attention on preventative measures and assistance.

Through Brandon’s Blog, we aim to inform and educate readers on the multifaceted nature of elder financial abuse while offering concrete solutions to mitigate its impact. From recognizing warning signs to establishing secure financial structures, we will unravel the complexities surrounding this pressing issue.

We believe that by equipping individuals with knowledge and empowering them with practical solutions, we can create a widespread awareness that will ultimately curtail the incidence of senior financial exploitation. Join us as we unravel the layers of this critical topic and strive toward a safer future for our senior citizens.

What is elder abuse?

Elder abuse is any action or inaction that threatens the health or well-being of an older adult. Some people call it senior abuse or abuse of older adults. Older adults have the right to live safely, to be treated with respect, and to manage their affairs. When someone violates those rights and causes harm, that’s abuse. Often the person causing the harm is someone in a position of trust, like a family member, friend, or caregiver.

All abuse is an abuse of power and a violation of trust in a relationship. The harm can be physical, emotional, financial, sexual, or involve some other breach of a person’s rights and freedoms. Neglect is also a form of abuse.

If the abused person suffers from a mental impairment or some form of cognitive impairment, they may or may not realize that their rights have been violated. The person causing the harm may or may not know that their action or inaction is abusive. Bystanders might suspect something is wrong, but be unwilling to get involved or unsure about what to do.

Abuse can happen to anyone at any age. It is a myth that abuse only happens to dependent, frail, elderly people, but elder abuse is the topic in this Brandon’s Blog. Abuse often happens to capable, fully functioning older adults through the use of false pretenses. People are usually ashamed to find themselves in an abusive relationship. They might ask themselves: How did this happen to me? How did I get here?senior

Importance of protecting seniors from financial exploitation

Shielding elderly people from financial exploitation is of utmost relevance due to several reasons. To start with, elders are commonly more susceptible to fraud as well as exploitation due to factors such as diminished cognitive abilities, seclusion, and reliance on others for financial monitoring. This makes them very easy targets for fraudsters seeking to manipulate their savings as well as assets.

Senior citizens have actually worked hard throughout their lives to build economic safety and security. Succumbing to financial abuse cannot just lead to substantial economic losses but also to psychological distress and a lessened quality of life. As a result, it is vital to apply effective methods and also raise recognition to prevent senior financial exploitation to guard the financial health of our seniors.

Types of senior financial abuse

Fraudulent investment schemes

Fraudulent investment schemes are a common example of senior financial exploitation. These cunning ploys frequently set their sights on the more vulnerable elders, enticing them with alluring yet phony investment prospects. Tactics such as high-pressure sales tactics or too-good-to-be-true false stories, promising large returns, are artfully employed by wrongdoers to deftly maneuver the unsuspecting seniors. It rests upon the shoulders of the seniors and their family members to remain knowledgeable regarding these devious stratagems. The danger signals must be readily recognized, and essential measures must be undertaken to safeguard their hard-earned cash and possessions.

Credit card fraud and misuse

The realm of senior financial abuse unveils a tapestry woven with the threads of credit card misuse and manipulation, casting a shadow upon the vulnerable elderly. Within this intricate web, the unsanctioned utilization of a senior’s banking card unfurls—a symphony conducted by caregivers, kin, or assorted individuals, each choreographing their moves to orchestrate personal gain. An alternate strain of this discord emerges—a fraudulent overture composed to secure all requisite personal intricacies, orchestrating the grand theft of credit through the intricate dance of identity deception.

Concurrently, the stage may also witness the deliberate mishandling or extravagant depletion of an elder’s monetary reservoir, setting the scene for a precarious financial downfall. The ripples of these actions reverberate with a magnitude that resonates, birthing enduring economic fissures within the lives of the elderly. Recognizing the symphonies of credit card abuse necessitates the discernment of dissonant notes—a medley of peculiar charges decorating the canvas of the bank card, abrupt deviations in pecuniary rituals, and the enigmatic vanishing of funds.

Bank account mismanagement and exploitation

Amidst the labyrinthine complexities of the financial landscape, the mishandling and exploitation of bank accounts evidenced by unknown bank withdrawals showing up on bank statements emerge as a distinct manifestation of abuse, weaving a narrative intricate and multifaceted. This particular transgression entails the unsanctioned utilization of a senior individual’s bank account by another, driven by personal interests. Within this realm, lies the potential for funds to be withdrawn devoid of proper authorization, while the intricate tapestry of account particulars can be deftly manipulated.

There exists a pressing need to institute protective measures and comprehensive guidelines, serving as bulwarks against the perils of such misconduct. Awareness stands as a sentinel, with individuals poised to recognize the faintest tremors of these illicit activities, sounding the alarm and promptly conveying any semblance of dubious behaviours.

Identity theft and fraudulent activity

Within the intricate fabric of contemporary society, the spectre of identity theft and fraudulent activity stir as pressing concerns. This form of abuse is often not caught because the victim is embarrassed that they fell for a scam robbing them of their details and then their money.

In the clandestine realm of identity theft, personal information such as Social Insurance numbers and credit card details, are ruthlessly snatched, igniting a chain reaction of unauthorized acquisitions and the clandestine birth of accounts set up from the person’s identity. This modern marauder, garbed in digital shadows, breaches the sanctity of personal information, wielding the stolen arsenal to orchestrate a symphony of financial deceit.

It begins through conduits as diverse as the digital ether of phone and email scams, the beguiling façade of spurious charities, and the seductive allure of investment schemes. To fight this form of senior abuse, there must be a vigilant alliance between seniors, their family and their financial institutions. Regular account scrutiny, the safeguarding of personal financial documents and legal documents, and familiarizing oneself with the lexicon of common swindles, must be forged.

These steadfast actions become the shield and the sword, to protect against the potential ravages of financial abuse. Through their orchestrated defence, the vulnerable seniors find refuge from the looming storm, protected from the adverse winds of treacherous economic tempests.

Power of attorney misuse

Misuse of a power of attorney is another type of senior abuse. When people are provided authority through powers of attorney, they are entrusted with significant financial responsibility as well as decision-making power on behalf of the senior. Sadly, some people abuse this authority, using their power for individual gain instead of the advantage of the elderly.

This can consist of embezzlement, theft, as well as unapproved withdrawals or transfers of funds. Seniors and also their family members need to comprehend the risks associated with the power of attorney abuse as well as take steps to protect themselves from monetary exploitation. This might entail thoroughly picking as well as vetting potential power of attorney agents, developing safeguards as well as limitations on their authority, and also consistently keeping track of financial activity.

Unauthorized sale or transfer of assets or property

Yet another facet of this unfortunate mistreatment takes shape in the realm of unapproved transactions involving the trade or transference of holdings or possessions that rightfully belong to the elder person. This brand of maltreatment is especially harsh, for its consequences reverberate in a manner that can strip seniors of the lifelines that sustain their existence.

Vulnerability is often enhanced through illness, seclusion, and sundry other variables, providing the fertile ground upon which this act of transgression takes root.

Once again, senior citizens need education. Knowledge of the art of financial deception and scams is of prime importance. Diligence in establishing protective measures acting as a shield against this type of abuse is imperative. Heightened awareness and the safeguarding structures that can be built will guard against this kind of senior financial abuse.

Use of funds for self-benefit by a caregiver or relative

This particular strain of maltreatment happens when an individual occupying a place of trust exploits the financial position of an elderly person for their exclusive enrichment. The onus to comprehend the gravity of this predicament and protect against it falls upon both the senior and their family, to understand the gravity of this issue and initiate measures of due vigilance to forestall its occurrence.senior

Senior financial abuse: Unusual financial transactions or requests

Recognizing one of the pivotal indicators signalling potential exploitation of senior finances is detecting occurrences of rather unusual and perplexing financial transactions. It’s in these instances that the elderly might find themselves embroiled in monetary dealings of significant magnitude that, in comparison to their usual monthly transactions, appear strikingly atypical or even suspicious. These dealings, casting a wide net, might encompass substantial and recurrent cash withdrawals, perplexing movements of financial assets whose rationale eludes immediate comprehension, or the unforeseen emergence of new strange faces.

Elderly individuals are susceptible to being swayed towards participating in financial dealings that stray rather far from the conventional, such as bestowing money upon newfound companions or cashing investments to use those funds for strange new purposes.

Senior financial abuse: Sudden changes in financial situation

A senior’s economic circumstance might suddenly go through significant shifts, which can be a warning of financial exploitation. These changes might take the type of rather uncommon withdrawals or transfers entailing substantial amounts of money. Conversely, one may observe swift and also unforeseen adjustments made to bank and investment accounts or insurance policies, or even come across unpredicted applications for loans. To guarantee the proper protection of their assets, elderly people must make it a practice to consistently analyze their financial records and proactively look for the assistance of financial experts.

The duty falls upon both relatives and caretakers entrusted to take personal care of a senior citizen, to maintain a consistent state of watchfulness concerning any type of unusual adjustments or abnormalities within the senior’s financial picture. The early identification of such changes could efficiently ward off any additional attempts at financial exploitation, therefore protecting the financial wellness of their cherished senior.senior

Senior financial abuse: Isolation from friends and family

A strong signal of elderly financial exploitation happens when seniors remove themselves from relationships with family and friends and become isolated. Elderly people captured within the web of financial abuse very often, in a sudden and overwhelming fashion, remove themselves from the orbits of their social relationships, severing the strings that once connected them to friends and family.

This self-imposed seclusion, a calculated maneuver created by the perpetrator, works as a device of dominance over the older person, making it easy to keep the machinations of financial resources manipulation from prying eyes. It is incumbent upon family, friends and professional advisors to watch for this and be proactive when the signal is sent. The cultivation of an atmosphere for repeating social engagements, combined with the perpetuation of unblocked methods for dialogue with the aged, collectively works as an instrument for the unveiling as well as thwarting attempts at this kind of financial dominance.

Senior financial abuse: Physical or emotional abuse

Physical or emotional abuse leads to further financial exploitation of the elderly. This signal is complex, encompassing the art of intimidation, the spectre of threats, or overall intimidation. These vulnerable adults, captured within the clutches of this kind of risk of abuse, may present a range of emotions – stress, anxiety, as well as overall withdrawal from engagement.

By remaining watchful, family members and caregivers can catch this signal in its early stages and help build protection into the lives of seniors, restraining the dangerous advancement of financial abuse by another person. Within the nurturing cocoon of trust and also the embrace of emotional nourishment, this type of makeover promotes empowerment within the hearts of the elderly, strengthening them against the hazards that depend on the shadows making them susceptible to exploitation.senior

Senior financial abuse: Promoting awareness and education

In the world of guarding senior individuals against the clutches of financial abuse, the critical approach focuses on skillfully pushing education and learning. It becomes paramount to gear up the senior with insights into typical frauds and maneuvers executed by monetary predators, thus equipping them with enhanced vigilance and self-preserving capacities. Accomplishing this necessitates the creation of curricula, workshops, and also proactive community support, which equip elders with essential tools that allow them to identify the danger signals so that they can take on preemptive actions to protect their assets.

The urgency to consistently prioritize the creation of education and learning cannot be overstated, as it stands as the cornerstone for making sure that our seniors have the strength and also imperviousness to become victims of elder abuse.

Senior financial abuse: Encouraging seniors to seek independent advice

Empowering our senior population to look for independent advice stands as a crucial stride toward preventing the destructive grip of senior financial exploitation. Via the energetic promotion of this practice, a gateway opens to unadulterated and adept advice, directing elders to the path of sound financial management. This counsel, unburdened by biases or vested interests, imparts a detailed view of their fiscal terrain, arming them with an arsenal of knowledge to parse possible challenges as well as avoid the snare of possible scams or manipulation.

The result will be to empower them, as senior citizens can make educated financial decisions for themselves and not fall prey to scams and fraudsters. With a boosted understanding of their financial milieu, they will be able to set up an awesome barrier against the rough trends of financial exploitation.senior

It’s of utmost significance to establish robust legal safeguards as a way to combat the insidious scourge of elder financial abuse. These safeguards play a crucial role in protecting our respected senior citizens from the snares and traps set by unethical actors. The variety of lawful procedures incorporates not only rigorous regulations controlling financial institutions yet additionally the imperative of reporting any kind of idea of prospective abuse and also the charge of weightier penalties upon those verified culpable of preying on elders.

Moreover, the establishment of specialized systems dedicated to resolving senior misuse within the folds of law enforcement agencies becomes a critical action to guarantee the careful investigation and also attentive prosecution of instances of economic exploitation. With the release of these robust legal safeguards, we effectively broadcast an absolute message: Senior financial exploitation shall locate no quarter, as we stand unwavering in our dedication to shielding our venerable citizens from the blight of financial abuse.

Senior financial abuse: Steps to take when suspecting exploitation

The need for swift, as well as decisive activity, can not be overstated, focused on protecting seniors from further elder abuse. Whenever financial abuse situations are suspected, there needs to be the collection of any type of corroborating evidence or pertinent documentation that lends credence to these suspicions. From there, with utmost tact as well as sensitivity, one embarks upon a journey of discussion, delving into the matter at hand with the senior concerned and also their circle of friends and relatives that the senior citizen depends on.

Depending on the gravity of the abusive situation there needs to be a consultation with an appropriate legal representative fluent in the nuances of elder law. This provides the opportunity to get legal advice and figure out possible strategies. As an added layer of alertness, getting in touch with local law enforcement lays the groundwork for a thorough reporting of the claimed misuse. And at the conclusion of this intricate series, it is vital to meticulously chronicle all conversations and also actions carried out, crafting a precise backup of documentation that will stand as a testimony to the thoroughness of the query into the suspected exploitation.

If you suspect that a senior person has actually been ensnared through financial elder abuse, the onus directly rests on your shoulders to report this to the appropriate authorities. Among these, neighbourhood law enforcement agencies carry out an essential function. The Canadian Network for the Prevention of Elder Abuse opens up a wide variety of beneficial resources, prepared to work as overviews for those embarking on this essential task. Reporting these disturbing incidents to the proper authority, the quick commencement of an investigation, concurrently accompanied by the provisioning of the essential assistance that the influenced elderly warrants, is the best course of action.senior

In dealing with senior financial abuse, an important thread that must be delicately woven is the stipulation of emotional and also psychological assistance for our elders. The ordeal of falling victim to financial exploitation casts a long darkness, enveloping them in distress and susceptibility. This experience, commonly noted by a sense of betrayal and powerlessness, requires a thoughtful reaction from specialists to assist them to cope with the full range of their resulting emotional roller coaster.

The journey towards healing starts with compassion, a foundation of assistance that recognizes the discomfort as well as the chaos that the attacked senior citizens endure. It is crucial for professionals to approach this task with sensitivity, acknowledging that the emotional toll of financial abuse can be as considerable as the financial loss itself. By producing a secure and also non-judgmental space, experts lay the structure for elders to express their feelings, worries, as well as fears.

One opportunity whereby specialists can help with their assistance is via counselling services. Offering seniors access to knowledgeable therapists that concentrate on elder abuse can provide them with a space to unravel the emotions that this terrible experience has caused. Through open discussion, these counsellors can help seniors deal with their emotions, reclaim a feeling of control, and also establish strategies to cope with the aftermath.

Support groups additionally play a crucial role in the recovery trip. Assisted by professionals, these teams provide a forum where seniors can get in touch with others that have experienced similar situations. Sharing tales, insights, and also coping mechanisms within an area of understanding people can foster a feeling of camaraderie and validate elders’ emotions.

Collaboration with mental wellness professionals is similarly critical. These experts can supply customized interventions to attend to certain psychological difficulties coming from the exploitation. Strategies such as cognitive-behavioural treatment and anxiety or depression management can equip senior citizens with functional tools to use in their healing journey.

Senior financial abuse: Conclusion

In the contemporary landscape, the guarding of our seniors from the clutches of financial abuse stands as an essential that knows no compromise. The instances comparable to that entailing US Senator Dianne Feinstein’s late husband’s estate resounds as an emotional wake-up call, spotlighting the plain susceptibility that elderly people challenge. It befits us to really acknowledge the gravity of this problem and also to proactively launch strengthened defences to shield our aging populace.

It is crucial to raise awareness, educate seniors about different scams and exploitation tactics, and provide them with the necessary resources to spot and report any suspicious activities. By standing together, taking preventive measures, and advocating for stronger legal protections, we can create a safer environment for our senior citizens and ensure their financial well-being. It is imperative that we, as responsible individuals and communities, come together to take a firm stand against senior financial exploitation.

I hope you enjoyed this senior financial abuse Brandon’s Blog. Everyone needs to understand what constitutes senior abuse and especially senior financial abuse. People scammed out of their money have trouble making ends meet, regardless of age. As life becomes more expensive for everyone, it is a growing concern in Canada, affecting individuals of all ages and income levels.

Individuals must take proactive measures to address financial difficulties and promptly seek assistance when necessary. It is crucial to recognize that financial stress is a prevalent concern and seeking help is a demonstration of fortitude, rather than vulnerability. Should you encounter challenges in managing your finances and find yourself burdened by stress, do not delay in pursuing aid.

Revenue and cash flow shortages are critical issues facing people, entrepreneurs and their companies and businesses with debt problems that are in financial distress. Are you now worried about just how you or your business are going to survive? Are you worried about what your fiduciary obligations are and not sure if the decisions you are about to make are the correct ones to avoid personal liability? Those concerns are obviously on your mind.

The Ira Smith Team understands these financial health concerns. More significantly, we know the requirements of the business owner or the individual that has way too much financial debt. You are trying to manage these difficult financial problems and you are understandably anxious.

It is not your fault you can’t fix this problem on your own and it does not mean that you are a bad person. The pandemic has thrown everyone a curveball. We have not been trained to deal with this. You have only been taught the old ways. The old ways do not work anymore. The Ira Smith Team uses innovative and cutting-edge methodologies, to adeptly navigate you through the intricacies of your financial challenges, ensuring a resolution to your debt-related predicaments without resorting to the rigours of the bankruptcy process. We can get you debt relief now!

We have helped many entrepreneurs and their insolvent companies who thought that consulting with a Trustee and receiver meant their company would go bankrupt. On the contrary. We helped turn their companies around through financial restructuring.

We look at your whole circumstance and design a strategy that is as distinct as you are. We take the load off of your shoulders as part of the debt settlement strategy we will draft just for you.

The Ira Smith Trustee & Receiver Inc. team understands that people facing money problems require a lifeline. That is why we can establish a restructuring procedure for you and end the discomfort you feel.

Call us now for a no-cost consultation. We will listen to the unique issues facing you and provide you with practical and actionable ideas you can implement right away to end the pain points in your life, Starting Over, Starting Now.senior

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BANKRUPTCY LAWYER: IS ONE ESSENTIAL TO FILE FOR BANKRUPTCY IN ONTARIO?

Bankruptcy lawyer: Introduction

Step right into this week’s edition of Brandon’s Blog, where we’re embarking on a profound exploration. Our focus today delves into a crucial theme that carries substantial weight within the psyche of a myriad of Canadian consumers grappling with financial adversity, as well as Canadian business owners navigating their enterprises with too many business debts through fiscal quandaries. The question at the forefront: do the circumstances warrant enlisting the expertise of a bankruptcy lawyer when contemplations of insolvency filings in Canada take center stage?

Venturing through the intricate landscape of insolvency and the realms of personal or corporate bankruptcy has the potential to stir feelings of frustration and helplessness. This sentiment amplifies mainly when the trajectory of your personal or corporate fiscal destiny hangs in a precarious balance, swaying like a delicate pendulum. The gravity of making prudent choices during this trying juncture cannot be overstated. At its core, lies the quintessential need to not only identify the right course but also to discern the adept professional from whose wellspring of wisdom guidance should be sought.

In this Brandon’s Blog, I will outline the scenarios in which consulting with a bankruptcy lawyer is highly advised, but as you will see, it is not essential in every circumstance. Whether you are taking into consideration submitting a restructuring proposal or seeking bankruptcy protection, recognizing who to turn to for specialist assistance for legal and financial advice can substantially affect the result of your financial journey.

I will discuss the intricate details surrounding insolvency as well as bankruptcy law in Canada. By diving into the significance of professional assistance and support, I intend to equip you with the understanding needed to make enlightened decisions during this difficult phase. Join me as we decipher the secrets of insolvency and bankruptcy and empower ourselves to safeguard a better financial future.

Bankruptcy lawyer: Overview of the insolvency and bankruptcy process in Canada

The bankruptcy procedure in Canada is governed by the Bankruptcy and Insolvency Act (BIA). It is a legal statute developed to supply relief to people and companies that are unable to pay their financial obligations. The process always includes the services of a Licensed Insolvency Trustee that is responsible for administering the insolvency process.

The Licensed Insolvency Trustee is first required to assess the debtor’s entire financial situation, including the causes of the insolvency, the current financial position and the nature of the assets and liabilities of the debtor. The Licensed Insolvency Trustee then needs to make recommendations to the debtor to solve their current financial crisis. Once agreed on, what insolvency or bankruptcy process will be implemented, the BIA and the restructuring consumer proposal, Division I proposal or the bankruptcy, is put into operation to offer a fresh start for the debtor while making certain there is fair treatment for the creditors.

A Licensed Insolvency Trustee is the only professional licensed in Canada by the federal government to administer the Canadian insolvency process chosen. In many cases, the process can be carried out without the advice of a bankruptcy lawyer.

bankruptcy lawyer
bankruptcy lawyer

Bankruptcy lawyer: Formal insolvency options in Canada

Navigating the intricate labyrinth of bankruptcy within Canada unfurls as a legal undertaking of profound significance, extending its benevolent embrace to both individuals and enterprises ensnared within the inescapable clutches of their fiscal commitments. This orchestrated progression finds its regulatory compass in the venerable BIA, its vigilant guardianship entrusted to a duly licensed sentinel of fiscal adversity, recognized as a Trustee.

Commencing this odyssey, the debtor sets forth to formally lodge their supplication for bankruptcy, an entreaty promptly received by the Licensed Insolvency Trustee, who, in turn, undertakes the judicious scrutiny of the debtor’s economic constellations. From this intricate appraisal blooms a stratagem, a masterwork designed to navigate the undulating terrain of debt repayment, fostering equilibrium amid the ranks of creditors.

Through the procession of this intricate ballet, the debtor finds sanctuary from the clamorous onslaught of creditor collections, an ephemeral respite nestled within the folds of the overarching process. This respite, however, is not a sojourn of idle reprieve; it entails the debtor’s obligatory participation in the convocations of credit counsel, a didactic interlude intended to illuminate the labyrinthine corridors of fiscal wisdom.

Once the intricacies of this design garner the seal of approval, the gears of asset liquidation are set into motion, unfurling a cascade of transactions wherein the debtor’s holdings metamorphose into liquid currency, a tribute disseminated among the consortium of creditors who await their apportioned spoils.

The culmination of this voyage heralds the debtor’s liberation from the shackles of residual indebtedness, a phoenix rising from the embers of fiscal duress, reborn into a realm unburdened by the obligations that once ensnared them.

The formal insolvency options in Canada are described below.

Insolvency and debt relief solutions for individuals –

  • Restructuring by making monthly payments under a consumer proposal for those who owe $250,000 or less (not including any debts secured by and registered against a person’s residence).
  • Financial restructuring under a Division I proposal, for those who owe more than $250,000.
  • Personal bankruptcy.

Insolvency and debt relief options for companies –

  • Financial restructuring under a Division I proposal as an alternative to bankruptcy.
  • Sale of assets through a receivership enforcement process initiated by a secured creditor.
  • Restructuring for companies that owe $5 million or more under the Companies’ Creditors Arrangement Act (CCAA).
  • corporate/business bankruptcies..

In certain situations, looking for the advice of a Canadian bankruptcy lawyer is of utmost significance. An insolvency or bankruptcy filing is an intricate legal process that needs careful consideration of an individual’s financial scenario. A bankruptcy legal representative can assist with whether corporate or personal bankruptcy, as the case may be, is the best option, the kinds of insolvency processes readily available, and the connected lawful obligations and effects.

Furthermore, individuals can seek assistance from a bankruptcy lawyer to guide them through the legal procedures. It is highly recommended that consumer debtors seek advice from both a licensed insolvency trustee and a bankruptcy lawyer in certain circumstances. Some typical scenarios that warrant additional counsel from a bankruptcy lawyer well-versed in insolvency law include:

  1. They are involved in complex family law proceedings.
  2. There are one or more legal actions against you that allege unlawful behaviour, such as fraud or fraudulent misrepresentation or the conversion of someone else’s property, such as funds held in trust.
  3. The bankrupt’s application for discharge from bankruptcy is being opposed and therefore there will be a court hearing.
  4. Their financial situation is intertwined with other issues where confidential consultation with legal advice is required and that advice must be protected by solicitor-client privilege.
  5. There are special asset considerations where a privileged discussion with a bankruptcy lawyer is essential before seeking advice and assistance from a Licensed Insolvency Trustee.

In corporate insolvency situations, we always recommend that the Directors obtain legal advice from a bankruptcy lawyer in addition to the corporation obtaining legal assistance.

A bankruptcy lawyer can provide customized guidance in such touchy situations as well as representation to guarantee the most effective feasible outcome for their clients.

bankruptcy lawyer
bankruptcy lawyer

Can I file for bankruptcy without a bankruptcy lawyer in Canada?

While it is possible to declare bankruptcy without a bankruptcy lawyer in Canada, it is recommended to seek legal counsel for complex corporate and personal filings. Hiring a bankruptcy attorney supplies several advantages, including knowledge of insolvency legislation, assistance in more complex proceedings and guidance on unusual issues, specific unique creditor issues or claims and personal liability under any personal guarantees.

In addition, a bankruptcy lawyer can represent you in court proceedings such as with litigants who have obtained approval of the court to continue litigation against the debtor and on a personal bankruptcy discharge hearing. This will guarantee that your legal rights are safeguarded throughout the process. Therefore, in these kinds of consumer and corporate insolvency matters, it is smart to talk to a qualified bankruptcy lawyer to ensure a smoother and much more successful bankruptcy process in Canada.

Determining the necessity of enlisting the services of both a bankruptcy lawyer and a Licensed Insolvency Trustee: Is a bankruptcy lawyer required to initiate bankruptcy proceedings in Canada?

Filing for bankruptcy in Canada can be a complex as well as stressful process, however, as defined above, it is feasible to do it without the help of a bankruptcy lawyer. A bankruptcy lawyer cannot launch the bankruptcy process in Canada. In Canada, bankruptcy, as well as any other insolvency process, is launched and administered by Licensed Insolvency Trustees that are qualified and also supervised by the Office of the Superintendent of Bankruptcy (OSB). So when someone files for bankruptcy, it is done with a trustee in bankruptcy (this is the old name for a Licensed Insolvency Trustee).

Trustees are accountable for overseeing and handling the Canadian bankruptcy and insolvency procedures, including the liquidation of assets and the distribution of proceeds to creditors for unsecured debts. They additionally offer debtors financial counselling, therapy and support on how to handle their financial resources in the future. To end up being a Trustee, people need to satisfy particular educational and professional requirements, consisting of completing specialized training, courses and examinations. Thus, Canadians can trust that their insolvency, as well as personal bankruptcy procedures, are being managed by qualified and also experienced professionals.

Regardless of the guidance and aid regarding your financial affairs from a Licensed Insolvency Trustee before and also after the initiation of a financial restructuring or personal bankruptcy process, a Licensed Insolvency Trustee practically acts on behalf of the unsecured creditors. So, for circumstances like those described above, if any debtor has an extra complicated scenario, is associated with sticky scenarios or is concerned about the director or personal responsibility as a result of a business restructuring or bankruptcy, then the recommendations of a bankruptcy lawyer should be acquired before entering into any insolvency procedure.

bankruptcy lawyer
bankruptcy lawyer

Bankruptcy lawyer and a Licensed Insolvency Trustee: Determining the necessity of enlisting the services of both a bankruptcy lawyer and a Licensed Insolvency Trustee

There arise certain junctures where the imperative of engaging a proficient bankruptcy lawyer to adroitly navigate the intricate labyrinth of the Canadian bankruptcy process becomes unequivocal. As expounded upon earlier, should your fiscal panorama manifest intricacies reminiscent of a Byzantine tapestry, replete with an entanglement of debts and creditors, the tutelage and expertise proffered by a bankruptcy lawyer morph into an invaluable compass.

The determination of the exigency to enlist the services not only of a bankruptcy lawyer but also of a bankruptcy trustee constitutes a pivotal crossroads for both individuals and enterprises ensnared in the throes of financial quandaries. While a bankruptcy lawyer adroitly dispenses legal counsel and advocates in the corridors of justice, a bankruptcy trustee’s role expands to encompass the labyrinthine realm of debt reorganization, proposal filings, and the art of debt alchemy. Their convergence encapsulates a holistic stratagem in the pursuit of resolving the monetary labyrinth.

Grasping the complexity inherent in bankruptcy law is tantamount, and a seasoned bankruptcy lawyer deftly steers through the legal firmament, charting a course that aligns with the best nexus of legal tenets. Conversely, a Licensed Insolvency Trustee proffers a detached analysis of the financial constellation, endowing clients with an array of options extending beyond the binary realm of bankruptcy and answering any questions about bankruptcy you may have.

At its essence, the verdict to summon forth both the prowess of a bankruptcy lawyer and the sagacity of a Trustee should hinge upon the unique tapestry woven by individual circumstances and the crystalline aspirations of the client. Ultimately, it comes down to the complexity and sensitivity of the person’s or company’s overall situation.

How to find a qualified bankruptcy lawyer or Licensed Insolvency Trustee in Ontario

When confronted with financial troubles in Canada, it’s important to make informed choices. If you’re thinking about bankruptcy, it’s smart to seek guidance from a Licensed Insolvency Trustee. These professionals can assist you through the intricate procedure and also give important understanding.

For those with especially complicated financial circumstances, or who is a corporate director of an insolvency company, it might be essential to employ the help of a seasoned bankruptcy lawyer.

Starting your search for trustworthy professionals can be frustrating. Nonetheless, a calculated strategy can aid. Begin by discovering the Law Society of Ontario’s website, where you’ll discover a comprehensive list of competent legal experts that concentrate on bankruptcy and insolvency.

To locate a bankruptcy trustee near you, explore the computerized database of the OSB. This will certainly give a list of bankruptcy trustees in your locale to seek insight, advice and assistance. For both a bankruptcy lawyer as well as a Trustee, it is essential to engage in a comprehensive conversation with any prospective advisor, delving into their specialist background, navigational technique, and cost structure.

Efficiency is not the only aspect to think about; reliability and also the personal vibe you get from that person to see if you make a connection are likewise essential elements that need to inform your decision. By locating an ally who can give adept support throughout this challenging period, you can navigate this hard juncture with greater ease as well as confidence.

Finally, check out Google and other online reviews. There is nothing better than reviews from people who were in your shoes before and sought assistance from a Licensed Trustee, bankruptcy lawyer or both. Their experience and insight into specific professionals will help you immensely. Things to look for include:

  1. What service did they perform for the person?
  2. Does the reviewer live in your general area?
  3. Did the professional do a good job?
  4. What were some of the reviewer’s favourite things in working with that professional?
  5. Did they work with any specific people in the firm that they highly recommend?
  6. How did the Licensed Insolvency Trustee or bankruptcy lawyer they chose to compare to others they may have consulted with?
  7. Are there any tips the reviewer offers to others?

Bankruptcy lawyer: Conclusion

Looking for legal advice when considering bankruptcy is not needed in every scenario. However, it is necessary when it concerns complicated plans. Hiring a qualified bankruptcy lawyer can provide countless benefits. They have the proficiency as well as knowledge to advise you before embarking on a bankruptcy process and afterwards to assist you with the whole procedure.

When considering filing an assignment in bankruptcy in Canada, it is crucial to comprehend the complexities of the process and also the potential effects. While it may be possible to navigate through it without an insolvency lawyer, talking to one will supply the specialist expertise necessary to guarantee a smooth and efficient process when you have complex or unique issues in your situation.

From evaluating your financial situation to exploring alternatives such as a restructuring proposal, a bankruptcy lawyer can direct you through the legal puzzle and also suggest the most ideal strategy. When it concerns matters as substantial as bankruptcy, seeking expert help is a sensible choice to secure your best interests and also secure a fresh financial start.

I hope you enjoyed this bankruptcy lawyer Brandon’s Blog. Problems with making ends meet are a growing concern in Canada, affecting individuals of all ages and income levels.

Creating a solid financial plan can be the key to unlocking a brighter and more prosperous future. By taking control of your finances, you can prioritize your expenses, set clear financial goals, and build a strong foundation for your dreams to come true. With the right mindset and approach, financial planning can empower you to regain control, eliminate this issue as a source of stress in your life and find peace of mind.

Individuals must take proactive measures to address financial difficulties and promptly seek assistance when necessary. It is crucial to recognize that financial stress is a prevalent concern and seeking help is a demonstration of fortitude, rather than vulnerability. Should you encounter challenges in managing your finances and find yourself burdened by stress, do not delay in pursuing aid.

Revenue and cash flow shortages are critical issues facing people, entrepreneurs and their companies and businesses with debt problems that are in financial distress. Are you now worried about just how you or your business are going to survive? Are you worried about what your fiduciary obligations are and not sure if the decisions you are about to make are the correct ones to avoid personal liability? Those concerns are obviously on your mind.

The Ira Smith Team understands these financial health concerns. More significantly, we know the requirements of the business owner or the individual that has way too much financial debt. You are trying to manage these difficult financial problems and you are understandably anxious.

It is not your fault you can’t fix this problem on your own and it does not mean that you are a bad person. The pandemic has thrown everyone a curveball. We have not been trained to deal with this. You have only been taught the old ways. The old ways do not work anymore. The Ira Smith Team uses innovative and cutting-edge methodologies, to adeptly navigate you through the intricacies of your financial challenges, ensuring a resolution to your debt-related predicaments without resorting to the rigours of the bankruptcy process. We can get you debt relief now!

We have helped many entrepreneurs and their insolvent companies who thought that consulting with a Trustee and receiver meant their company would go bankrupt. On the contrary. We helped turn their companies around through financial restructuring.

We look at your whole circumstance and design a strategy that is as distinct as you are. We take the load off of your shoulders as part of the debt settlement strategy we will draft just for you.

The Ira Smith Trustee & Receiver Inc. team understands that people facing money problems require a lifeline. That is why we can establish a restructuring procedure for you and end the discomfort you feel.

Call us now for a no-cost consultation. We will listen to the unique issues facing you and provide you with practical and actionable ideas you can implement right away to end the pain points in your life, Starting Over, Starting Now.

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bankruptcy lawyer

 

 

 

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Brandon Blog Post

TENANTS IN COMMON VS JOINT TENANCY IN ONTARIO: THE MODERN RULES OF A 1 CO-OWNER UNHAPPY BANKRUPTCY

tenants in common vs joint tenancy

We hope that you and your family are safe, healthy and secure during this COVID-19 pandemic.

Ira Smith Trustee & Receiver Inc. is absolutely operational and Ira, in addition to Brandon Smith, is readily available for a telephone consultation or video meeting.

Tenants in common vs joint tenancy in Ontario: Shared ownership of property

There are two different types of property joint ownership: tenants in common vs joint tenancy. Whether you’re married or not, you still face the same problems. Having a co-owned home raises the issue of how the title should be held; tenants in common vs joint tenancy. Both are equally good. The answer really depends on the relationship between the co-owners and their estate planning needs.

A bankruptcy filing by one of the co-owners complicates matters further. A recent bankruptcy case decision in Ontario where only one of the joint owners filed for bankruptcy, highlights the problem, especially for non-bankrupt co-owner. This Brandon Blog discusses the recent bankruptcy case and what it means for both the bankrupt co-owner and the non-bankrupt co-owner regardless of the ownership choices between tenants in common vs joint tenancy.

Home ownership in Ontario: tenants in common vs joint tenants as co-owners

The word “tenants” is normally thought of with property rental. But both joint tenancy and tenants in common reference to a type of shared property ownership. As tenants in common, the ownership rights and all areas of an entire property are owned equally by all members of the group.

When one of the joint tenants dies, the deceased owner‘s share of the property passes to the surviving owner without going through the probate process. With tenants in common, in the event of death, this is not the case.. For asset protection and estate planning purposes, many married couples who want to hold title to the real property in a co-ownership structure, do so as joint tenants to avoid the probate process. Each joint tenant owns a 50% share ownership stake in the property.

Tenants in common may freely decide what ownership percentage of the property each owns. Each tenant in common does not need to own an equal percentage of the property; unequal ownership is fine as long as all co-owners agree on the ownership arrangements of unequal shares. The tenants in common can also transfer their share of the property through a Will, a real estate transfer, or even an arm’s length sale. Tenants in common are well advised to have a signed co-ownership agreement that spells everything out.

This is the primary difference between tenants in common vs joint tenancy in Ontario for the joint ownership of real property.

tenants in common vs joint tenancy
tenants in common vs joint tenancy

Property ownership part 2: tenants in common vs joint tenants in Ontario and the bankruptcy of 1 co-owner

When a co-owner becomes bankrupt, what happens? The Brandon Blog faithful knows that I have previously explained that upon bankruptcy of a person, the non-exempt assets of the bankrupt should be vested in the licensed insolvency trustee, subject to secured creditors‘ rights. For real estate ownership, the answer does not change whether title is held in tenants in common vs joint tenancy.

There is an exemption in Ontario for equity in one’s home of not more than $10,783. It is not an exemption for the first $10K, but rather if the total equity is below that amount. Therefore, we can consider the equity in a bankrupt person’s ownership interest in their home to belong to the Trustee for all practical purposes.

If the bankrupt has a 50% ownership stake due to a joint tenancy agreement, then it is the bankrupt’s equity in half the home. If the bankrupt’s ownership stake is under a tenants in common co-ownership agreement, then it is the equity in only the bankrupt’s co-ownership share. In either scenario, the ownership interest of the non-bankrupt owners are not directly affected. However, the other co-owners’ are affected one way or the other by the bankruptcy of a co-owner. The legal case I am about to tell you about is no exception.

Land Owner Transparency Registry: A Public Database

Upon the person’s bankruptcy, the bankrupt must disclose all assets to the Trustee. With computerization and the internet, it is easy for a Trustee to determine if the bankrupt has an ownership interest in the real estate where they reside. This is whether or not the bankrupt has disclosed such ownership interest.

The decision of the Honourable Justice Pattillo of the Ontario Superior Court of Justice in Bankruptcy and Insolvency dated July 28, 2021, in Re Johansen Bankruptcy, 2021 ONSC 5241 (CanLII) highlights the issues in the bankruptcy of a co-owner of real estate. In December 2016, Mr. Johansen filed a voluntary bankruptcy assignment. In his sworn statement of affairs, he listed no realizable assets and liabilities of $73,968 (unsecured) and $14,950 (secured). No mention is made of any ownership in real estate.

The Trustee learned of the bankrupt’s interest in the home he lived in with his mother in March 2017. In the period from April 2017 to October 2020, the Trustee wrote to the bankrupt and Mrs. Johansen as well as spoke to the bankrupt several times about his interest in the home and why it hadn’t been disclosed. The bankrupt did not provide any information other than denying interest in the property, and his mother did not respond.

A FedEx courier envelope containing a one-page statutory declaration purportedly signed by Mrs. Johansen on October 18, 2018, arrived at the Trustee on October 16, 2020. Her declaration stated, in part, that putting the 20% in the bankrupt’s name was intended to provide her son with an interest in her Estate over and above any other entitlements under her Will. According to her, the 20% was a gift to be realized only after her death.

In the Trustee’s view, the bankrupt and his mother are playing games with each other. The Trustee applied to the court for a declaration that the bankrupt held a 20% interest in the home at the time of bankruptcy, and that he could partition and sell it. Despite the Trustee having a lawyer, the bankrupt represented himself. It would have been better if he had gotten legal advice and been represented in court.

tenants in common vs joint tenancy
tenants in common vs joint tenancy

Tenants In Common vs Joint Tenancy: Can your 90-year-old mother be thrown out of her house?

The Judge determined that the bankrupt owned a 20% interest in the property based on the legal title, and hence, that 20% interest vested in the Trustee pursuant to s. 71 of the Bankruptcy and Insolvency Act (Canada) (BIA).

Mrs. Johansen’s statutory declaration to the effect that the bankrupt did not own the real estate and that the 20% was a gift that only passes to him on her death was not accepted by the Judge. The declaration was signed some two years after the bankruptcy when the Trustee’s ownership interest was well known. Despite repeated requests from the Trustee for information, it was not produced for another two years. In addition to what was noted by the Judge, his main concern was the way she characterized the bankrupt’s interest, given the evidence concerning the property they owned before this home, which Mrs. Johansen failed to mention.

Mrs. Johansen and the former marriage of the bankrupt’s wife, as well as the bankrupt, were the three parties on title to the home they purchased on January 30, 2007. They obtained a mortgage from TD Bank on January 30, 2007, which was discharged on February 21, 2007. Due to a marital split, the bankrupt’s wife was removed from the legal title on October 17, 2008, leaving just his mother Mrs. Johansen and himself as parties on the legal title. The bankrupt admitted that his ex-wife was paid for her interest in that home. On June 28, 2012, the bankrupt and his mother sold that home for $567,000, and the same day purchased the current home for $450,000.

The home was purchased in 2012. The title documents recorded at the time, its ownership is divided between 20% owned by the bankrupt and 80% owned by Mrs. Johansen. Mrs. Johansen and the bankrupt both signed the Land Transfer Tax affidavit showing as between tenants in common vs joint tenancy they chose to own the home as tenants in common. There are no mortgages recorded on the title.

All title searches, including a current title search, did not reveal the nature of the interests of each of Mrs. Johansen, the bankrupt or his ex-wife held in that previous home. However, it did show that each of them had an interest in it. The Judge determined that when Mrs. Johansen and the bankrupt bought the current home, it is a reasonable conclusion that the bankrupt had a 20% ownership interest in it. It was not intended to only pass on Mrs. Johansen’s death.

Justice Pattillo did not accept the bankrupt’s evidence that he has no interest in the property and had no knowledge that he was one of the parties on title. Given the history and the fact that he signed the affidavit of Land Transfer Tax at the time of purchase, Justice Pattillo held that the bankrupt was aware he had an interest in the legal title in the property.

Justice Pattillo found that the Trustee had the standing to bring the application for partition or sale of the property since he is a person with an interest in it. The Judge noted that Mrs. Johansen is 90 years old and does not wish to sell her home. Based on the evidence, however, he did not consider that to be of sufficient hardship to warrant refusing the requested remedy.

Tenants in common vs joint tenancy: The bankruptcy of 1 co-owner will affect the others

The Judge stayed his order for three months. He encouraged the bankrupt and through him his mother to seek professional advice so that this issue can be resolved with the Trustee before the sale process begins. The order will take effect if a resolution is not reached within that timeframe.

Now that the prospect of the sale of the entire home, not just the bankrupt’s co-ownership interest, was a reality, the bankrupt and his mother needed professional guidance. Their professional advice would be that the Trustee is only entitled to 20% of the bankrupt’s equity interest. So, if the mother from her own funds, or by getting a mortgage, can come up with the value of the 20% interest and pay it to the Trustee, then the house will not get sold. She will have bought the bankrupt son’s 20% interest, and the Trustee will have all the money he is entitled to.

If one co-owner goes bankrupt, the other co-owners are affected as well. It is the Trustee’s responsibility to convert the bankrupt’s equity into cash. One or more of the remaining co-owners are the natural buyers of the bankrupt co-owner’s interest. Sometimes non-bankrupt co-owners must sell, as is the case for Johansen if the mother cannot purchase the son’s equity from the Trustee, but most often someone will purchase the Trustee’s equity to maintain the status quo.

Had the choice of ownership interest as between tenants in common vs joint tenancy, this would not have changed the outcome of this case.

tenants in common vs joint tenancy
tenants in common vs joint tenancy

A lawyer can help you understand tenants in common vs joint tenancy in Ontario

I hope that you found the tenants in common vs joint tenancy Brandon Blog interesting. Problems will arise when you or your company are in financial distress, cash-starved and cannot repay debts. There are several insolvency processes available to a company or a person with too much debt.

If you are concerned because you or your business are dealing with substantial debt challenges, you need debt help and you assume bankruptcy is your only option, call me.

It is not your fault that you remain in this way. You have actually been only shown the old ways to try to deal with financial issues. These old ways do not work anymore.

The Ira Smith Team utilizes new modern-day ways to get you out of your debt difficulties with debt relief options as alternatives to bankruptcy. We can get you the relief you need and so deserve. Our professional advice will create for you a personalized debt-free plan for you or your company during our no-cost initial consultation.

The tension put upon you is big. We know your discomfort factors. We will check out your entire situation and design a new approach that is as unique as you and your problems; financial and emotional. We will take the weight off of your shoulders and blow away the dark cloud hanging over you. We will design a debt settlement strategy for you. We know that we can help you now.

We understand that people with credit cards maxed out and businesses facing financial issues need a realistic lifeline. There is no “one solution fits all” method with the Ira Smith Team. Not everyone has to file bankruptcy in Canada. The majority of our clients never do as we know the alternatives to bankruptcy. We help many people and companies stay clear of filing an assignment in bankruptcy.

That is why we can establish a new restructuring procedure for paying down debt that will be built just for you. It will be as one-of-a-kind as the economic issues and discomfort you are encountering. If any one of these seems familiar to you and you are serious about getting the solution you need to become debt-free, contact the Ira Smith Trustee & Receiver Inc. group today.

Call us now for a no-cost consultation.

We hope that you and your family are safe, healthy and secure during this COVID-19 pandemic.

Ira Smith Trustee & Receiver Inc. is absolutely operational and Ira, in addition to Brandon Smith, is readily available for a telephone consultation or video meeting.

tenants in common vs joint tenancy
tenants in common vs joint tenancy
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Brandon Blog Post

BANKRUPTCY LAWYER IN TORONTO VS. BANKRUPTCY TRUSTEE IN TORONTO: WE EXPLORE AND EXPLAIN COMPLETELY THE DIFFERENCES FOR YOU

bankruptcy lawyer in toronto
bankruptcy lawyer in toronto

We hope that you and your family are safe, healthy and secure during this COVID-19 pandemic.

Ira Smith Trustee & Receiver Inc. is absolutely operational and Ira, in addition to Brandon Smith, is readily available for a telephone consultation or video meeting.

If you would prefer to listen to an audio version of this Brandon Blog, please scroll to the very bottom and click play on the podcast.

Bankruptcy lawyer in Toronto introduction

Canada is recognized for its cultural diversity, but it can be a battle to locate trustworthy information on the nation’s laws. Bankruptcy is a difficult topic to learn about; both learning the technical side and dealing with the emotional one.

If you or your company are thinking about bankruptcy, you might think you need a bankruptcy lawyer in Toronto. However, you do not necessarily require one. A licensed insolvency trustee in Toronto (formerly called a bankruptcy trustee in Toronto) can help you pick the perfect insolvency process for you and make certain that you survive it as best as possible.

In this Brandon Blog, I discuss the roles of a bankruptcy lawyer in Toronto and a licensed insolvency trustee. Sometimes they can overlap and many times they do not. We will take a detailed look at a bankruptcy lawyer in Toronto vs a licensed insolvency trustee. We will discuss the differences between the two and exactly how they can each help you.

Bankruptcy lawyer in Toronto – Do you need one to file personal bankruptcy?

Whether it is personal bankruptcy proceedings, or one of the formal alternatives to bankruptcy such as a consumer proposal or a Division I Proposal that are being contemplated, a bankruptcy lawyer in Toronto or elsewhere is not involved in the actual bankruptcy filing. or the Canada – restructuring & insolvency filing. That is what trustees in bankruptcy do.

When a person or company is contemplating an insolvency process, they can get a no-cost consultation with any one of the bankruptcy trustees they choose to meet with. During the consultation, information is gathered by the Trustee, analyzed and possible solutions are discussed.

Trustees must always be careful to not tread into areas that could possibly give them a conflict in providing their financial services. People wanting advice on asset transfers, asset protection, or preferring one or more creditors over others are areas that Trustees should not wade into.

In situations like that, I always advise potential bankruptcy clients that as there is no privilege in our discussions and we should not talk about those things so that I will not be conflicted. Rather, the person should get advice from a bankruptcy lawyer in Toronto or elsewhere where the discussions and the legal advice are protected by solicitor-client privilege.

bankruptcy lawyer in toronto
bankruptcy lawyer in toronto

Do You Need a personal bankruptcy lawyer in Toronto to get your bankruptcy discharge?

As I have written before in several Brandon Blogs, there are 6 possible outcomes in a bankrupt’s application for discharge. This depends on whether the discharge is being opposed by either the Trustee and/or one or more creditors. The possible bankruptcy discharge outcomes are:

  • Automatic – This discharge is absolute and is given by the Trustee at the earliest possible time the bankrupt person is entitled to a discharge. It means that the bankruptcy has performed all of his or her duties, has fully cooperated with the Trustee and nobody has opposed the discharge.
  • Absolute – An absolute discharge is obtained when the Trustee issues the automatic discharge. it is also possible to obtain an absolute discharge when a creditor opposes the bankrupt’s discharge, the matter goes to court for a hearing, but the court does not believe the evidence presented by the opposing creditor is persuasive and the court orders an absolute discharge.
  • Conditional – In this type of discharge, there was opposition to the bankruptcy receiving an absolute discharge. The court considered the evidence and concluded that the bankrupt must fulfill one or more conditions before being entitled to a discharge from bankruptcy. More often than not, a conditional discharge includes a certain amount of money the bankrupt must pay to the Trustee for the general benefit of the creditors.
  • Suspended – A suspended discharge is given when there is opposition to the bankrupt’s discharge and the matter goes to court for a discharge hearing. Based on the evidence, the court believes that the bankrupt, either before or during the bankruptcy estate file administration, has conducted himself or herself in such a way that although a discharge will be given, it should be delayed. The suspension acts to delay the discharge and can be combined with conditions.
  • Refused – The bankrupt’s discharge is opposed probably by at least the Trustee and probably one or more creditors. There is sufficient evidence before the court that the bankrupt has not lived up to his or her duties and has probably failed to fully cooperate and provide full disclosure to the Trustee. The court, based on the evidence, refuses to consider the bankrupt’s application for discharge until such time as the bankrupt performs all duties and discloses all information.
  • No order – This is not an actual discharge type, but can be the outcome of a discharge hearing. The court can issue a “no order” instead of a refusal. The facts are probably similar to when the court can issue a refusal. However, in a “no order” situation, the bankrupt remains in bankruptcy but the Trustee is then free to pursue its discharge. Once the Trustee gets its discharge, the bankrupt lose the protection offered by the stay of proceedings. Creditors are then free to pursue all of their rights and remedies against the bankrupt in the enforcement of their trying to collect their respective debts.

When the time comes for the bankrupt to get his or her discharge from bankruptcy, if the Trustee or a creditor opposes, the bankrupt would be well advised to consult with a bankruptcy lawyer in Toronto or elsewhere. The Trustee cannot give an automatic discharge and the matter is going to court for a trial. The bankrupt should get the benefit of legal advice and probably will need to retain the lawyer to provide legal services in representing the bankrupt in court. That is not the job of the Trustee.

Corporate Bankruptcy in Canada – Corporate bankruptcy lawyer in Toronto, Canada – Do you need one to file corporate bankruptcy?

As I will explain, every Canadian corporate insolvency file requires probably several, not just one bankruptcy lawyer in Toronto or elsewhere. Insolvency law is complex and lawyers will help all the parties involved.

The current economic climate in Canada is going to be challenging for Canadian businesses and I expect there will be many financial difficulties. Government COVID-19 support programs are scheduled to end soon. Companies have been tapped out while shut down just trying to stay alive with little or no revenue being earned. Companies will need cash now that it is time to start everything up again. No doubt there will be business casualties.

However, not all businesses are created equal. Some will be able to restructure, some will file for bankruptcy and others will merely shut their doors and fade away.

Among the keystones of a restructuring proceeding under either the Companies’ Creditors Arrangement Act or the Bankruptcy and Insolvency Act is the debt workout. The restructuring is designed to maintain the debtor’s business and negotiate a financial debt repayment strategy with its creditors. The aim is to save jobs, allow the company to continue while avoiding bankruptcy liquidation.

Key components of a debt workout normally include debtor-in-possession lending (DIP lending) while the company is reorganizing, new capital for the company coming out of its restructuring and getting unsecured creditors, and possibly secured creditors, to agree to accept less than they are owed. In the very large corporate restructuring files, there are normally lending syndicates due to large and complex lending arrangements. They too will need lawyers to help them with the insolvency law.

If a restructuring proceeding is not possible or does not succeed, then either the company’s secured creditor will begin receivership enforcement proceedings or the company will file an assignment in bankruptcy or a creditor will launch a bankruptcy application to put the company into bankruptcy.

In every corporate insolvency file, legal services are required by all the stakeholders. Canadian counsel plays an important part in providing advice. In the larger files, a large team of lawyers will be needed for both the company and its main creditors. The Board of Directors will need their own independent legal team. The bankruptcy trustee in Toronto will also need a dedicated team of lawyers to help navigate through the formal restructuring in court or help in a court-appointed receivership, private receivership or bankruptcy.

As you can see, in pretty well every corporate file, a bankruptcy lawyer in Toronto or elsewhere is pretty well a must-have requirement. Lawyers will be able to help the company, its Board of Directors, its creditors and the insolvency professional create effective solutions. The best ones will also make sure that they are also practical solutions.

bankruptcy lawyer in toronto
bankruptcy lawyer in toronto

Other situations where you could need a bankruptcy lawyer in Toronto, Barrie, GTA, or elsewhere

When looking for a bankruptcy lawyer in Toronto, Barrie, GTA and elsewhere, you want to find one that has substantial experience. Depending on the situation you or your company are involved in, the experience could be in one or more of:

  • financial reorganizations;
  • debt reorganizations and debt restructurings;
  • debtor legal rights and creditor rights;
  • security enforcement;
  • forbearance/standstill arrangements;
  • lender liability suits;
  • receivership and related matters for banks or other secured lenders, court and privately appointed receivers;
  • insolvency and bankruptcy litigation or other complex matters; and
  • acting for receivers and Trustees, debtors, secured creditors, unsecured creditors or any other stakeholder in an insolvency process.

Take Your First Step Towards A Debt Free Life

I hope that you found this bankruptcy lawyer in Toronto Brandon Blog interesting and that you now have a better appreciation for when getting bankruptcy legal advice is necessary. Problems will arise when you are cash-starved and in debt. There are several insolvency processes available to a person or company with too much debt.

If you are concerned because you or your business are dealing with substantial debt challenges, you need debt help and you assume bankruptcy is your only option, call me.

It is not your fault that you remain in this way. You have actually been only shown the old ways to try to deal with financial issues. These old ways do not work anymore.

The Ira Smith Team utilizes new modern-day ways to get you out of your debt difficulties with debt relief options as alternatives to bankruptcy. We can get you the relief you need and so deserve. Our professional advice will create for you a personalized debt-free plan for you or your company during our no-cost initial consultation.

The tension put upon you is big. We know your discomfort factors. We will check out your entire situation and design a new approach that is as unique as you and your problems; financial and emotional. We will take the weight off of your shoulders and blow away the dark cloud hanging over you. We will design a debt settlement strategy for you. We know that we can help you now.

We understand that people and businesses facing financial issues need a realistic lifeline and practical financial advice. There is no “one solution fits all” method with the Ira Smith Team. Not everyone has to file bankruptcy in Canada. The majority of our clients never do as we know the alternatives to bankruptcy. We help many people and companies stay clear of filing an assignment in bankruptcy.

That is why we can establish a new restructuring procedure for paying down debt that will be built just for you. It will be as one-of-a-kind as the economic issues and discomfort you are encountering. If any one of these seems familiar to you and you are serious about getting the solution you need to become debt-free, contact the Ira Smith Trustee & Receiver Inc. group today.

bankruptcy lawyer in toronto
bankruptcy lawyer in toronto

Call us now for a no-cost bankruptcy consultation.

We hope that you and your family are safe, healthy and secure during this COVID-19 pandemic.

Ira Smith Trustee & Receiver Inc. is absolutely operational and Ira, in addition to Brandon Smith, is readily available for a telephone consultation or video meeting.

Call a Trustee Now!