{"id":1230,"date":"2019-12-21T13:16:34","date_gmt":"2019-12-21T19:16:34","guid":{"rendered":"http:\/\/www.mankatobankruptcy.com\/blog\/?p=1230"},"modified":"2019-12-19T14:07:06","modified_gmt":"2019-12-19T20:07:06","slug":"bankruptcy-affect-embezzlement","status":"publish","type":"post","link":"https:\/\/www.mankatobankruptcy.com\/blog\/bankruptcy-affect-embezzlement\/","title":{"rendered":"How Filing for Bankruptcy Will Affect Embezzlement Judgments"},"content":{"rendered":"\n<p>Bankruptcy is a highly effective debt\nrelief option available to individual consumers and businesses alike. It\u2019s a\nsystem that is designed to protect the economy on varying scales from the\noversaturation of debtors unable to continue making regular payments. It\u2019s also\ndesigned to protect debtors from destitution while maintaining fair treatment for\nany creditors involved. If you are considering choosing bankruptcy as a long-term\ndebt relief option, it\u2019s important to understand how difficult it could be to\nfile without professional experience, knowledge, and guidance. With the help of\nBehm Law Group Ltd, you can work through the nuances and complexities of filing\nfor bankruptcy in Fairmont, MN, and build a strong, successful case. <\/p>\n\n\n\n<p>While bankruptcy is an efficient tool for\ndebt relief, it doesn\u2019t necessarily wipe out all debts. Unsecured debts like\ncredit card debt or medical bills are almost always discharged, but other debts\nlike some taxes or priority obligations like child support are largely exempt\nfrom discharge in bankruptcy. Like those debts, not all legal debts like\nlawsuit judgments, fines, or other debts are always discharged in a bankruptcy.\n<\/p>\n\n\n\n<p>Embezzlement judgments, for example, may or may not be discharged in your bankruptcy. If you have committed embezzlement fraud and have gone through the legal processing of that crime, you will most likely have a criminal fine or restitution on your record. Criminal fines or restitution fall into the category of priority (<a href=\"https:\/\/www.investopedia.com\/terms\/n\/nondischargeable_debt.asp\">non-dischargeable<\/a>) debt and they will not be discharged in your bankruptcy. However, you may be able to have that debt discharged if it is only classified as a civil judgement. <\/p>\n\n\n\n<p>Civil judgments are claims against you that fall into the category of debts owed for \u201cfraud or defalcation while acting in a fiduciary capacity, embezzlement, or larceny.\u201d If your debt for embezzlement is a civil judgment rather than a criminal fine or restitution, the creditor you owe that debt to must request that the court declare it non-dischargeable. To do this, they must take action early on in your case, specifically, within 60 days of the date set for the <a href=\"\/blog\/meeting-of-creditors-bankruptcy-owatonna-mn\/\">341 meeting of creditors<\/a>. <\/p>\n\n\n\n<p>To request this, a creditor will have to\nfile an adversary proceeding (i.e., lawsuit) with the court. In this\nproceeding, the creditor must prove that your embezzlement actions were\nfraudulent, that you were not authorized by the company or by the law to take\nthe money or property, and that the property taken was held in trust for\nanother party (i.e., the company or person embezzled from). If a creditor files\na successful adversary proceeding, your civil judgment debt will not be\ndischarged in bankruptcy.<\/p>\n\n\n\n<p>If you are considering filing for bankruptcy in Fairmont, MN, and want to learn more about how different debts will be affected, contact Behm Law Group Ltd. at <a href=\"tel:507-387-7200\">(507) 387-7200<\/a> or via email at <a href=\"mailto:stephen@mankatobankruptcy.com\">stephen@mankatobankruptcy.com<\/a> today.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Bankruptcy is a highly effective debt relief option available to individual consumers and businesses alike. It\u2019s a system that is designed to protect the economy on varying scales from the oversaturation of debtors unable to continue making regular payments. It\u2019s also designed to protect debtors from destitution while maintaining fair treatment for any creditors involved. [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[3],"tags":[],"aioseo_notices":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v19.8 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>How Filing for Bankruptcy Will Affect Embezzlement Judgments | Behm<\/title>\n<meta name=\"description\" content=\"Filing for bankruptcy can have an effect on multiple areas of your life, including embezzlement judgements and more. 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