BAPCPAs Mandatory Credit Counseling Requirement Does Not Apply to an Involuntary Bankruptcy According to Latest ABI Poll
BAPCPA’s MANDATORY CREDIT COUNSELING REQUIREMENT DOES NOT APPLY TO AN INVOLUNTARY BANKRUPTCY, ACCORDING TO LATEST ABI POLL
January 5, 2007, Alexandria, Va. — A majority (69 percent) of respondents in a recent American Bankruptcy Institute online poll agreed with a recent ruling that the credit counseling requirement of the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 (BAPCPA) does not apply in the case of an involuntary bankruptcy. Fifty-seven percent of respondents “agreed strongly” and another 12 percent “somewhat agreed” that BAPCPA’s mandatory credit counseling requirement does not apply to involuntary bankruptcy cases.
Twenty-four percent disagreed that BAPCPA’s mandatory credit counseling requirement did not apply to involuntary bankruptcy cases. Sixteen percent of respondents “strongly disagreed,” while eight percent “somewhat disagreed” that the mandatory credit counseling requirement of BAPCPA does not apply to involuntary bankruptcy cases. Eight percent did not know or had no opinion on the issue.
The poll question is based on a recent case (In re Willis A. Sadler), in which a judge ruled that the mandatory credit counseling requirement under §109(h) of BAPCPA only applies to situations where the debtor voluntarily files the bankruptcy petition.
ABI members and members of the public were welcome to submit their response to the statement: “BAPCPA’s mandatory credit counseling requirement does not apply in the case of an involuntary bankruptcy.” The latest ABI Quick Poll was open for voting from Dec. 29 - Jan. 4.
ABI’s weekly Quick Poll is posted on ABI’s home page, www.abiworld.org. ABI members and the public are invited to respond to a question on a timely bankruptcy or insolvency issue. Visit http://www.abiworld.net/quickpoll/ to access the results of previous ABI Quick Polls.
ABI is the largest multi-disciplinary, nonpartisan organization dedicated to research and education on matters related to insolvency. ABI was founded in 1982 to provide Congress and the public with unbiased analysis of bankruptcy issues. The ABI membership includes more than 11,500 attorneys, accountants, bankers, judges, professors, lenders, turnaround specialists and other bankruptcy professionals, providing a forum for the exchange of ideas and information. For additional information on ABI, visit www.abiworld.org. For additional conference information, visit http://www.abiworld.org/conferences.html.