Best Bankruptcy & Debt Lawyers in Queens

About Bankruptcy & Debt Law in Queens, United States

Bankruptcy and debt law in Queens operates under federal rules administered in the Eastern District of New York (EDNY). Most consumer cases in Queens are filed under Chapter 7 or Chapter 13 of the Bankruptcy Code. These proceedings protect consumers from creditor actions while a plan is formed or assets are liquidated as a last resort.

In practical terms, filing for bankruptcy can stop wage garnishments, foreclosures, and collection calls through an automatic stay, while giving you time to reorganize debts or liquidate non-exempt assets. Queens residents will typically interact with EDNY bankruptcy judges, the U.S. Trustee, and local court clerks to navigate filings, meetings of creditors, and plan confirmations.

According to the U.S. Courts, Chapter 7 and Chapter 13 are the most common bankruptcy options for individuals in the United States.

Source: United States Courts - Bankruptcy Basics

For local procedures and forms, Queens residents should reference the Eastern District of New York bankruptcy resources and the federal Bankruptcy Code provisions applicable in EDNY proceedings. See official EDNY and U.S. Courts resources for filing steps, eligibility, and timelines.

Nearby courts and agencies provide guidance on exemptions, means tests, and plan confirmations. The relationship between federal bankruptcy law and New York state exemptions is a frequent area of focus for Queens attorneys and judges alike.

Why You May Need a Lawyer

Bankruptcy and debt relief in Queens often involves technical steps where a lawyer’s guidance matters. A qualified attorney can help you assess your options, protect exemptions, and coordinate in-court procedures.

Here are concrete scenarios common to Queens where legal counsel is advisable:

• A homeowner in Elmhurst faces imminent foreclosure and needs to understand whether a Chapter 13 plan can catch up mortgage arrears while protecting other assets.
• A wage-earner in Flushing has received a large wage garnishment for consumer debt and seeks an immediate stop through the automatic stay while the case is prepared.
• A resident’s income is above a means-test threshold and Chapter 7 would not discharge most debts, making a Chapter 13 repayment plan a more viable option.
• A small business owner in Jamaica or Astoria contemplates Chapter 11 or Chapter 7 to reorganize debts or wind down operations, while preserving essential assets.
• A couple behind on medical bills wants to understand how exemptions in New York differ from federal exemptions and how those apply to household belongings and the homestead.
• A borrower is facing a tax lien or an adverse claim on property and needs to understand the interplay between bankruptcy protections and state tax liens.

In each scenario, a Queens bankruptcy attorney can tailor strategy to local court practices, help prepare required schedules, and coordinate with the EDNY trustee. The right counsel can also explain how exemptions, discharge outcomes, and plan confirmations affect long-term financial goals in Queens.

Local Laws Overview

Bankruptcy in Queens is governed by two intertwined frameworks: the federal Bankruptcy Code and New York state exemption rules. The federal framework sets out Chapter 7, Chapter 11, and Chapter 13 procedures, while New York law governs exemptions that residents may choose to protect certain property.

The law commonly cited by practitioners includes:

• Title 11 of the United States Code (Bankruptcy Code) - Chapters 7 and 13 are the most frequently used by individuals in Queens. This code also covers automatic stay protections under 11 U.S.C. § 362, and plan confirmation under § 1325.
• 11 U.S.C. § 522 (Exemptions) - This provision allows debtors to exempt certain property from the bankruptcy estate, using either federal exemptions or state exemptions, depending on election and eligibility.
• New York CPLR Article 52 (Exemption Statutes) - New York residents frequently rely on NY state exemptions (for example, CPLR 5206 for homestead and related exemptions described in CPLR 5205 and 5221). Debtors may elect state exemptions instead of federal exemptions under 11 U.S.C. § 522(b).
• Automatic Stay under 11 U.S.C. § 362 - An early, court-imposed protection that halts most collection actions, including foreclosures and wage garnishments, once a bankruptcy petition is filed.
• Eastern District of New York Local Bankruptcy Rules - Local rules govern procedural aspects in EDNY bankruptcy cases, including filing standards, case management, and creditor notice requirements. See EDNY resources for current rules and forms.

Relevant authorities include:

• Bankruptcy Basics - U.S. Courts
• U.S. Trustee Program - Eastern District of New York
• Eastern District of New York - Court Website
• CPLR 5206 Homestead Exemption - New York Senate
• CPLR Exemption Provisions - New York Senate

Recent trends in Queens include increased attention to streamlined filings for consumer cases and careful evaluation of exemptions to maximize protection of essential assets. Practitioners monitor EDNY updates for local rules that impact timelines and creditor notice. For residents, staying informed about both federal and state exemptions improves planning for Chapter 7 versus Chapter 13 options.

Frequently Asked Questions

What is bankruptcy in simple terms?

Bankruptcy is a legal process to resolve unmanageable debt. It provides protection from creditors and can result in debt discharge or a structured repayment plan. The goal is a fresh financial start while balancing creditors' rights.

How do I start a bankruptcy case in Queens, NY?

To start, you file a petition in the EDNY bankruptcy court with supporting schedules and statements. A trustee is assigned, and a meeting of creditors (341 meeting) is scheduled to review the case.

What is the difference between Chapter 7 and Chapter 13?

Chapter 7 involves liquidation of non-exempt assets to pay creditors, generally resulting in discharge within a few months. Chapter 13 creates a repayment plan over 3-5 years, allowing you to keep assets and catch up missed payments.

Do I qualify for Chapter 7 under the means test?

The means test compares your income to state and local standards. If too high, you may not qualify for Chapter 7 and might consider Chapter 13 or other options. A Queens attorney can calculate this for your situation.

How long does a Chapter 7 case take in EDNY?

Most Chapter 7 cases in EDNY complete within 4-6 months, from filing to discharge. Complex asset collections or objections can extend the timeline.

How much does a bankruptcy attorney cost in Queens?

Attorney fees vary by case complexity and local practice. Some lawyers offer flat fees for Chapter 7 and tiered fees for Chapter 13. Consultations help determine a precise estimate.

What is the timeline from filing to discharge?

For Chapter 7, expect filing, a 30-45 day credit counseling requirement, and discharge typically within 4-6 months. Chapter 13 requires a confirmed plan before discharge, usually 3-5 years.

Do I need to live in Queens to file here?

You can file in the EDNY if you reside in Queens or if your debts primarily relate to this area. Local court information can guide where to file and how to coordinate hearings.

Can I keep my house or car in bankruptcy?

Exemptions determine whether you can keep certain property. NY exemptions or federal exemptions may protect your home and vehicle, depending on your choice and eligibility.

What is the difference between federal exemptions and NY exemptions?

Federal exemptions let you choose 11 U.S.C. § 522(b) exemptions, while NY exemptions follow CPLR Article 52. Your attorney will help you decide which set maximizes protection in your case.

How do I stop wage garnishment quickly?

Filing a bankruptcy petition typically triggers an automatic stay, halting most garnishments. A lawyer can ensure the stay is properly obtained and maintained through the proceedings.

Can I file bankruptcy if I have student loans?

Student loans are generally not dischargeable through Chapter 7, except in rare hardship cases. Chapter 13 may offer a structured path to repay student debt over time in some circumstances.

Additional Resources

Useful official resources to understand bankruptcy and debt relief options include:

• United States Courts - Bankruptcy Basics - General overview of Chapter 7, 11, and 13 and how bankruptcy works for individuals. https://www.uscourts.gov/services-forms/bankruptcy/bankruptcy-basics
• U.S. Trustee Program - Eastern District of New York - Information about the role of the U.S. Trustee in EDNY cases and oversight of the bankruptcy process. https://www.justice.gov/ust/eastern-district-new-york
• Eastern District of New York Court Website - Official court information, local rules, and forms for EDNY bankruptcy cases affecting Queens. https://nyeb.uscourts.gov/

Next Steps

1. Clarify your goals and collect all debt-related documents, including bills, notices, and proof of income. This helps a bankruptcy attorney assess options quickly.
2. Identify Queens-based bankruptcy lawyers with EDNY experience and schedule initial consultations. Ask about their approach to Chapters 7 and 13 and typical timelines.
3. Prepare a short briefing for each lawyer, highlighting assets, debts, mortgage status, and any ongoing creditor actions. This ensures focused advice during your meeting.
4. Discuss fee structures and possible retainer arrangements. Request a written engagement letter outlining scope, costs, and expected milestones.
5. Choose a lawyer who explains exemptions and means testing clearly and in plain language relevant to Queens residents. Confirm their availability for hearings and 341 meetings.
6. File the selected petition promptly after signing a retainer to initiate the automatic stay and creditor protections. Follow your attorney’s instructions for documentation and deadlines.
7. Attend all court dates and respond to requests from the trustee promptly. Maintain open communication with your attorney throughout the process.