January 31, 2017 “Real Housewives of New Jersey” star, Teresa Giudice, has — for the moment — some breathing room. In December 2016, she reached a settlement with her creditors that has been approved by the U.S. Bankruptcy court in Newark, NJ. This settlement allows her to keep 55 percent of any potential winnings from the ongoing lawsuit she has against her former bankruptcy attorney, James Kridel. The parties reached the settlement after intense negotiations between Giudice and multiple creditors and attorneys. A U.S. bankruptcy judge expressed simultaneous relief and disbelief at the surprising resolution of the hearing. Giudice’s attorneys at the time of the ruling, Anthony Rainone and Carlos Cuevas, indicated that Guidice has repaid the majority of her creditors, including $156,000 against a $551,563 lien filed by the Internal Revenue Service. The attorneys also stated that Giudice and her husband have worked out a settlement with the NJ Department of Revenue. The Giudices initially filed for bankruptcy in 2009, retaining Kridel as their counsel. However, the bankruptcy trustee , John Sywilok, accused the Giudices of hiding assets and income, which prompted the Giudices to withdraw their bankruptcy filing. Teresa Giudice was charged and pled guilty to bankruptcy fraud. She was also found guilty of wire and mail fraud for a scheme perpetrated prior to the bankruptcy. While serving her one-year prison sentence, Giudice filed a legal malpractice suit against Kridel, alleging the mishandling of the fraud charges resulted in her imprisonment. Kridel responded by calling the lawsuit “absurd.” When the trustee, Sywilok, was made aware of Giudice’s case against Kridel, he reopened her bankruptcy. Sywilok initially contended that any winnings from this case should go to Giudice’s creditors but subsequently agreed with her attorneys to split the award between her and her creditors. Giudice’s legal malpractice suit against Kridel was dismissed earlier in 2016 due to the reopened bankruptcy. However, Giudice’s attorneys indicate they plan to refile the suit this month, claiming Sywilok as a co-plaintiff. In the RHONJ reunion show in 2016, Teresa Giudice accused co-star Jacqueline Laurita of reporting her to the feds. Ordinary people sometimes face unexpected expenses and other financial challenges in their daily lives. A competent bankruptcy attorney can review your case to help your decide if filing bankruptcy is a valid option.
January 20, 2017 Nick Loeb, Sofia Vergara’s ex, is pursuing custody of two frozen embryos , Emma and Isabella. The couple split up in 2014; Loeb previously sought custody of the embryos. The lawsuit claims that the embryos are due an inheritance via a trust in Louisiana, but they cannot claim it as they have not been born. The embryos are physically in California. Louisiana has determined that a fertilized egg is a person, which differs from California law. However, Loeb is not named as a plaintiff. Instead, a separate trustee has been listed as a plaintiff. Vergara, who stars in the sit-com, “Modern Family,” created the embryos via in-vitro fertilization in 2013. The couple allegedly signed a contract stating that they both must agree regarding the handling the embryos. Vergara reportedly has denied permission for the embryos to be given to a surrogate mother to be birthed. The plaintiff’s legal team has stated that both parties knew that the purpose of IVF was to bring the embryos to full term. According to text message records, four embryos originally survived. However, additional information states that the embryos would remain frozen and only brought to term if both of them agreed to this course of action. Vergara does not want the babies born now that she and Loeb have split up. On the other hand, Loeb, with a strong pro-life stance, believes the babies have a right to live. Vergara’s legal team further contends that Loeb’s reported pro-life beliefs are nothing more than a publicity stunt, since he previously consented to abortions for two former girlfriends. Depositions on the two women, as yet unnamed, remain in limbo. Vergara has now married an actor. She has one son from a prior relationship. Her attorney believes that Loeb’s case will fail. He further cites the written agreement both parties made prior to the pregnancy. A key focus in the case is specifically when a fertilized egg is considered to be a viable human being. If you have questions on specific family law matters, contact our office to find out your rights and for answers to your legal questions.
Orange County District Attorney Under Investigation for Serious Accusations January 11, 2016 In 2011, Scott Dekraai murdered eight people in a Seal Beach salon in Orange County, California. Three years later, after confessing to the crimes, he was sent to prison pending his court case. In 2015, a California criminal court judge removed the OC District Attorney’s office from the case , citing numerous violations of Dekraai’s rights while he was in prison. According to court documents, the OCDA office used prison informants to obtain information on Dekraai in an attempt to secure the harshest possible verdict. The California District Attorney’s office was assigned as prosecution, and the Orange County DA’s office started on a journey that eventually led to federal lawsuits against the office and many of its attorneys. In the state of California, prosecutors cannot legally utilize informants to gather information on a suspect after that individual has been arrested. However, in 2013 OC public defender Scott Sanders alleged that the DA’s office had been using confidential informants in prison as a regular course of action. In December 2016, the U.S. Department of Justice opened an investigation into the alleged practice by the OCDA’s office. The Orange County District Attorney’s office is the largest in the country with approximately 250 attorneys and a huge staff of support personnel. The investigation into their unethical and potentially illegal activities has already lead to the overturning of several key murder convictions. Some legal observers are speculating that the Department of Justice may open investigations into every murder case the Orange County DA has prosecuted since 1986. Rackauckas and his office have denied any wrongdoing despite mounting evidence against them. This included a secret file that was used to track every informant the Orange County DA had working inside local prisons and which prisoners those informants were talking to. This speculation has been brewing for years, but the official investigation has only just begun. The Department of Justice has not indicated if the OCDA’s office will be allowed to prosecute cases while it is under investigation or if the DA’s office will be temporarily suspended from murder case prosecutions. In light of prosecutorial misconduct , the court might overturn a criminal case. Larry Bellomo is an exceptional Orange County lawyer practicing in Bankruptcy and Family Law.
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January 28, 2018 According to an October 27, 2017, announcement, the Los Angeles jeans company, True Religion, exited Chapter 11 bankruptcy with about $357 million less debt, debt maturities extended, cash to implement a growth plan and a positive outlook for the future. The company emerges with a reduced retail footprint and an exit loan of $60 million from Citizens Bank, the same bank that provided the initial cash during the reorganization process. At the peak of the company, True Religion jeans were selling anywhere from $150 to $250 a pair at their nearly 140 stores and online. The brand also sold at upscale department stores, such as Bloomingdales, Saks Fifth Avenue and Nordstrom and at other locations in the U.S., Mexico and South America. Around 2013, True Religion, like many other apparel stores, struggled for success, watching sales decline as it competed with the internet, online shopping and competing discount retailers. The rapid growth in the trend of athletic wear for leisure caused the sales of blue jeans to quickly decline. Behind $192,000 on rent for its California office headquarters and drowning in major debts owed to creditors, manufacturers, U.S. Customs and Border Protection and malls around the country, True Religion filed for bankruptcy on July 5, 2017, in a U.S. Bankruptcy Court in Delaware. At the time of filing, the company had 128 stores in the United States and 11 stores outside the country. The company made some major changes, hiring John Ermatinger as CEO and president and bringing on a new chief marketing officer and a new vice president of sourcing. They also reduced costs, streamlined processes and closed unprofitable stores. John Ermatinger publicly thanked the company’s supporters — consumers, employees, vendors and suppliers — for their ongoing commitment and devotion to True Religion. He expressed his excitement regarding the future of the company, which includes implementing new growth strategies through innovative partnerships, expanding True Religion’s digital presence and refining its marketing operations. You do not have to be a major corporation to file bankruptcy , Like in the case of True Religion, bankruptcy allows individuals to emerge in a better financial position than before. Our legal team can help you navigate through these difficult times.
January 16, 2018 A Fresno State professor who intimidated a pro-life group was ordered to pay $17,000 and attend training on the First Amendment. He was recorded on video in an attempt to harass pro-life students who were drawing with chalk on the sidewalk. He also asked students from his public health class to assist him in his efforts. He claimed they were outside of the campus free speech area, but no such area has existed on campus since 2015. The sidewalk messages suggested pro-life options for students. The president of the club stated that the First Amendment gives students the right to speak on campus. She documented an incident between herself and the professor on video. He can be heard telling her that she is not in a free-speech area. However, she claimed that she had school permission to be there and to be speaking. The professor began erasing the sidewalk messages with his shoe. He told her that she did not understand the areas where free speech was permitted on campus. Alliance Defending Freedom acted as legal representation for the group, the Fresno State Students for Life. The professor must pay $1,000 to the president and $1,000 to another student as well as legal fees. However, he said that the money was paid by his insurance company, so he is not concerned about the legal fees. He does not admit to any wrong actions but is willing to attend the training so that he can learn the opinions and thoughts of others. The president expressed her relief that he will not be able to harass them again and explained that the case was not about winning money. She was extremely surprised at his actions, especially on a public campus. She further opined that professors should encourage and not prohibit free speech. Legal counsel for the pro-life group stated that the professor’s behavior flagrantly violated the First Amendment He added that school officials do not have the right to restrict freedom of speech on campus. The school did not comment about the case. If you believe that your First Amendment rights have been violated, you will need experienced legal representation to defend you. Contact us so that we can discuss your case.
January 5, 2018 The complexities of any divorce include dividing money, property and assets between both parties. While this might not be as complex for a millennial as it is for a couple who has spent their lifetime acquiring possessions, both types of divorce require finding a qualified family lawyer to deal with the personal issues. Legal experts report that stereotypes claim that other generations are more loyal than millennials who don’t really value traditions. She continues that even though they wait to marry, they still place a high priority on the institution. However, she added that they will not tough out a relationship the way their parents did. This by no means makes a divorce any easier for millennials. They feel just as hurt and disappointed as any others who divorce , but their outlook for the future tends to be more optimistic. Although marriage rates in the U.S. continue to decline, divorce rates are also dropping. Millennials delay marriage until later in life, placing an emphasis on education and careers before taking this significant life step. Millennials tend to be more open to diverse relationships, including living together. In the past, prenuptial agreements held a negative connotation as if one of the parties expected the marriage to end. The more-practical millennials, who prioritize acquiring and preserving wealth, see the prenup as a planning tool and communication map to manage financial expectations and interests. Creating a prenup with a lawyer realistically deals with the uncertainty of the future and helps a couple draft specific plans. Millennials choosing to live together instead of marrying can benefit from an attorney’s expertise when drawing up a cohabitation agreement, protecting both parties and their assets in case the relationship ends. When couples know the laws regarding cohabitation , marriage and divorce in their state, they tend to be ready for even unexpected contingencies. Whether a couple plans to cohabitate, marry or file for divorce, planning for a big relationship step helps the individuals prepare for the future, no matter what happens in the marriage. Consulting with a knowledgeable, experienced family lawyer sets up both parties for success.
December 23, 2017 The 32-year-old mother entered the high rise in downtown Memphis as a memory tugged at the far corners of her mind. Suddenly, it came to her. She had been in this very building with her own mother for the same purpose — to file bankruptcy . She anguished over the decision but a court order had recently enforced a judgement against her that allowed a company to seize a portion of her check. With her struggle to make ends meet, the judgment would put an unbearable strain on her already overburdened finances — the proverbial straw that broke the camel’s back. Despite the stigma, she decided that bankruptcy would stop the vicious cycle of juggling bills each month so that she could now start fresh. She even dreamed of becoming a homeowner one day. While the U.S. Bankruptcy Court for the Western District of Tennessee in Memphis funnels millions of dollars to the court, the lawyers and the creditors, the debtors for whom the entire system exists don’t fare so well. The clients are stuck in a vicious cycle. Most people choose to file Chapter 7, which allows the person to start over from square one without seizing any debts. In contrast, Chapter 13 requires monthly payments while stopping car repossessions and home foreclosures. This method is most common in the South and was what this mother chose. She didn’t understand the difference between the two. However, filers who opt for Chapter 13 must continue making payments for five full years. Most cannot even last 12 months under the program. These individuals went through each and every step of the bankruptcy — paying filing and legal fees and dealing with a seven-year blemish on their credit record — but do not ultimately benefit from the program. Once they have defaulted, they revert back to all unpaid debts with interest rates higher than ever. When comparing Caucasian filings with African-American filings, the latter usually file under Chapter 13 but cannot complete the program. Some return for repeat filings, with a few filing Chapter 13 up to 20 times during their lifetimes. They view bankruptcy as a last resort. If you are considering bankruptcy, talk to our knowledge attorneys about which options — Chapter 7 or Chapter 13 — is best for you.
