On behalf of Law Offices of Mark M. Kratter, LLC on July 03, 2012
Chapter 7 bankruptcy can sometimes be the best decision Connecticut residents can make when they are faced with insurmountable debt. In fact, several celebrities have filed for bankruptcy recently, including Danielle Staub, a former cast member of Bravo's "Real Housewives" series. Her Chapter 7 bankruptcy petition states that she has both assets and debts numbering between half a million and $1 million. Staub owes several creditors, including Land Rover, the Gap and American Express, as well as the collections department of Nordstrom. She has not publicly commented on the bankruptcy.
Curt Schilling, a former professional baseball player, is also making headlines again with the Chapter 7 petition of his 38 Studios LLC, which we discussed a few weeks ago. However, last reports indicated that the company had made an overdue payment on a $75 million loan from the state of Rhode Island in an attempt to salvage some of their situation. However, the check apparently bounced due to insufficient funds, and the studio's executive director has now bowed out from the company.
In celebrity chef bankruptcy news, Pino Luongo is shutting down his Madison Avenue restaurant and has filed for bankruptcy, claiming assets of up to $500,000 but debts totaling upwards of $1 million. The rent, utilities and taxes on the restaurant were costing him $41,000 per month. This is his second bankruptcy filing dealing with his restaurants, as Toscorp, one of Luongo's other restaurants, sought bankruptcy protection after the terrorist attacks in 2001.
In Connecticut and around the rest of the country, Chapter 7 bankruptcy offers an opportunity for individuals and families to finally conquer their debt and make plans for a new beginning. Often, overwhelming debt is the result of circumstances beyond individual control. However, when events have come together to create debilitating debt, the bankruptcy court can operate quickly to stop creditor harassment and provide a framework to resolve economic difficulties once and for all.
Source: The Wall Street Journal, "The Broke and the Beautiful: N.J. 'Real Housewife' Danielle Staub Enters Bankruptcy," Melanie Cohen, June 8, 2012
