Bankruptcy Reader

–By Priya Jestin, Staff Writer

The fact that it took the judiciary so long to understand that the new bankruptcy law passed in 2005 was flawed is the only thing that amazes me. I mean we all knew that there was something wrong with it and if I remember well, I’ve been harping on it for nearly a year now myself. So why did it take so long for this US district court judge in Minneapolis to rule that a portion of the new U.S. bankruptcy law unfairly restricted attorneys and violateed the First Amendment.

All we can say is that at least Judge James Rosenbaum decided to speak up. So what prompted this decision? According to the judge, a part of the law ‘forbids truthful and possibly efficacious advice” from an attorney to a client.’ The judge wanted to know, “If this is the government’s view of legal ethics, it is a form of ethics unfamiliar to the Court.”

What Rosenbaum’s ruling addressed was a provision in the new law that said attorneys couldn’t advise their clients to take on more debt as the clients consider filing for bankruptcy.

If you enjoyed this article, please bookmark it at del.icio.us »

This entry was posted on Saturday, December 9th, 2006 at 3:52 pm and is filed under News. You can follow any responses to this entry through the RSS 2.0 feed. You can skip to the end and leave a response. Pinging is currently not allowed.