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Bankruptcy & Student Loan Relief

Prepetition Conduct by Debtor as Constituting “For Cause” Under 11 U.S.C.A. § 707(a) Permitting Dismissal of Chapter 7 Bankruptcy Petition

September 7, 2015March 30, 2023 Mike Shovan

Prepetition Conduct by Debtor as Constituting “For Cause” Under 11 U.S.C.A. § 707(a) Permitting Dismissal of Chapter 7 Bankruptcy Petition

A Chapter 7 bankruptcy case may be dismissed generally only for cause under 11 U.S.C.A. § 707(a). The question of what constitutes “cause” has often been litigated, especially with regard to a debtor’s alleged “bad faith.” This article collects and discusses the federal cases that have considered whether prepetition conduct by a bankruptcy debtor constitues bad faith.

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