New York billionaire Philip Falcone’s wireless communications start-up, LightSquared, is going through some difficult times.

After receiving a conditional waiver from the FCC and investing billions of dollars into a nationwide 4G wireless network, the project is being postponed indefinitely. The FCC claims the network may interfere with crucial GPS systems and has since retracted LightSquared’s waiver.

The company may be facing bankruptcy unless a deal to appease its creditors is reached. One of the conditions of such a deal includes Philip Falcone stepping down as the company’s public figurehead. Mr. Falcone, a registered Republican, is accused of receiving preferential treatment from the Obama administration.

Not everyone has the luxury of avoiding bankruptcy by working less. If you are overwhelmed with debt, contact the Cedar Rapids bankruptcy lawyers of Hong Law, PLC at 319-632-1400.

The city of Waterloo has published a report this week comparing changes in major economic indicators between now and this time last year. Its findings show economic improvement in many of the measured categories.

For example, compared to this time last year, Waterloo’s unemployment rate decreased while the number of vehicle registrations increased.

Notably, bankruptcies declined drastically between years, from 87 in the first quarter of 2011 to 45 in the first quarter of 2012.

While bankruptcies may be on the decline, it is still important to know that it remains an option for those who need help escaping from crushing debts. If you feel overburdened by debt, contact the Cedar Rapids bankruptcy lawyers of Hong Law, PLC, at 319-632-1400.

President Barack Obama continued his tour of colleges and universities today at the University of Iowa where he spoke with a handful of students about his first job after college.

The Commander-in-chief said he made $10,000 at that job, which would amount to approximately $18,000 accounting for inflation. Many of the students are poised to graduate with $30,000 or more in debt. Many students fear being unable to pay back their debts and worry they will be financially overwhelmed for years to come.

The president will speak to a crowd of thousands of people later today. One of the topics he is poised to discuss is federal loan rates.

If you are facing overwhelming financial difficulties, the Cedar Rapids personal bankruptcy lawyers of Hong Law, PLC, can help you get your debts back in order. Contact us at 319-632-1400 to learn more about how we can help.

A Cedar Rapids monk plans on telecommuting to his bankruptcy hearing, where he hopes to challenge the sale of Buchanan Abbey’s assets. The man, the abbey’s former head, is in Illinois and cannot leave the state due to criminal charges he is facing there.

After the monk failed to attend his initial hearing, the presiding judge, Paul Kilburg, suggested that he participate by phone from Illinois. He concluded the case could carry on in this manner because modern technology has reached a point where it is powerful enough to allow it.

The other parties involved with the case will present evidence in person in the courtroom.

Facing bankruptcy is difficult. If you are in financial trouble, the Cedar Rapids bankruptcy lawyers of  Hong Law, PLC, can help you take the right steps toward setting your finances back on track. Contact our experienced bankruptcy lawyers at 319-632-1400 for a confidential case evaluation.

The number of bankruptcy filings in the state of Utah have dropped by nearly 11 percent.

According to the officials in the U.S. Bankruptcy court, the court has received a total of 4,149 filings this year so far. This number is lower than the same time period for this year which was at 4,639.

Officials have stated that they are down as of the beginning of the year, but it is unknown how the rest of the year will turn out. The American Bankruptcy Institute stated that the rest of the U.S. has also seen a decrease and it is currently down 12 percent in the first quarter.

If you or a loved one has been considering filing for bankruptcy, you need representation on your side that may be able to help you through this process step by step. Contact the Cedar Rapids bankruptcy lawyers of Hong Law, PLC, by calling 319-632-1400 today.

Editorial Article printed October 20, 2005 in the Gazette

At midnight on October 17 a new stricter bankruptcy law went into effect In the weeks preceding the October 17th deadline, thousands of Iowans filed for bankruptcy protection partly because they believed that they would not be eligible for bankruptcy under the new law. As a local bankruptcy attorney, I helped hundreds of Iowans file bankruptcy over the past few months. I talked to many more who wanted the protection of bankruptcy, but just could not find a way to file in time.

Iowans burdened with debt are telling me they are worried about the new bankruptcy law, about how it will affect their ability to file bankruptcy. What about those who didn’t make the cut? Is the new law going to keep honest Iowa debtors from seeking and receiving the relief our laws have previously afforded those who have met misfortune? Will we make those who are burdened with debt, whether due to medical catastrophes, unemployment, or spiraling credit card interest, carry their debts with them to their graves?

The answer is clear. The fact is that most Americans in financial trouble will still be able to take advantage a fresh start through bankruptcy. There are a lot of rumors and myths circulating about the new law and I’d like to dispel some of those myths.

Myth: You won’t be able to file bankruptcy at all under the new law.
This is absolutely not true. The new law does impose several new requirements to file bankruptcy, but in no way does it bar you from filing altogether. The law still recognizes that bad things can happen to good people and if you have suffered a serious financial setback due to loss of a job, medical bills, high credit card interest, or a natural disaster like Katrina, you are still entitled to bankruptcy relief.

Myth: You won’t be able to file “Chapter 7” bankruptcy which wipes out debt completely, but will have to file “Chapter 13” bankruptcy which requires long repayment plans under the new law.
Not true. The vast majority of people who file bankruptcy will still qualify for Chapter 7 bankruptcy. The new law was designed to prevent the handful of wealthy debtors who can afford to pay back their debts from using the bankruptcy system to escape their responsibilities. The new law has a complicated test which compares your income with your expenses to determine if you qualify for Chapter 7 bankruptcy. Some research shows that 97% of people filing bankruptcy (including those with above-average incomes) should pass this test and still qualify for Chapter 7.

Myth: You will have to give up all of your assets if you file bankruptcy under the new law.
Again, not true. Under the new law, the vast majority of Iowans filing bankruptcy will not need to give up any of their assets. The new law still allows you to keep your house, your car, your furniture, your retirement account, and most other assets so that you can get a fresh start in life after filing. There is a new provision in the law designed to prevent a wealthy debtor from escaping debts by moving into a different state and a buying a million dollar mansion, but this new provision will generally not affect Iowans, since Iowa already has its own state laws preventing this type of abuse.

Myth: You won’t be able to find an attorney to file your bankruptcy.
Not true. It is true that the new law imposes many new strict rules and regulations on attorneys who practice bankruptcy law. Attorneys who violate these new rules are subject to substantial sanctions by the court. Consequently, many local attorneys report that they will not be practicing bankruptcy law after October 17. However, there are several competent and experienced bankruptcy attorneys here in Eastern Iowa who will continue to practice bankruptcy law despite the law’s new harsh rules governing attorneys.

Myth: The new paperwork and education requirements will make filing bankruptcy impossible.
Not true. It is true that the new law has several new requirements which will make it more cumbersome to file bankruptcy, but if you truly need to file bankruptcy, these new requirements are not going to stop you. Under the new law, you must submit copies of last year’s tax return and two months of pay stubs. If you don’t have these documents, the IRS and your employer can usually provide you with copies. Under the new law, you will also be required to attend two court-approved classes on credit and debt management. Many debtors have little spare time to attend these debt classes, but these classes are also available by phone or Internet which should make it a little easier for you to fit them into a busy schedule.

Under the new law, there are new requirements which make filing bankruptcy more cumbersome, but for those Iowans who truly need the relief that bankruptcy provides, the new hurdles are not insurmountable. In fact, these changes may be nothing more than a few minor bumps compared to the personal and financial disasters that brought them to bankruptcy.

Janet K. Hong is a partner at the law firm of Lynch Dallas, P.C. in Cedar Rapids. She has been practicing bankruptcy law for 15 years and is a member of the National Association of Consumer Bankruptcy Attorneys.