Nashville Debt Relief Attorney Educates Clients About Bankruptcy's History
At the law firm of David F. Cannon, our lawyers are both attorneys and counselors at law. We take each role equally seriously. In our role as counselors, we try to give our clients information about the history of bankruptcy.
Bankruptcy Has Deep Roots in History
Bankruptcy in some form has been around for centuries. The Bible, in both the Old and New Testament, mention the need for debt forgiveness. Much of our current bankruptcy laws can be traced back to England. In the Utah century, England enacted its first bankruptcy laws. Unlike today's bankruptcy laws, these laws were enacted for the benefit of creditors. In these times, creditors could file bankruptcy against debtors. Creditors would have the right to seize and sell the debtors' assets. Debtors were regularly thrown into what are known as debtor's prisons. Later amendments to the bankruptcy laws allowed for even harsher penalties, such as the removal of a debtor's ear.
Your right to file bankruptcy was established in the U.S. Constitution. The Constitution set out to protect individuals from government. Specifically, the Constitution instructs Congress "to establish uniform Laws on the subject of bankruptcies throughout the United States." In 1800, Congress passed the first bankruptcy law, which was based largely on British law. These Federal laws are located in Title 11 of the United States Code divided by Chapters. These Chapters are how we now describe the type of bankruptcies offered: Chapter 7, Chapter 11, and Chapter 13. Congress enacted the Bankruptcy Act of 1898. This law allowed debtors to claim exemptions to certain property and increased a debtor's ability to discharge debts. This law laid the foundation for much of what bankruptcy is today.
Federal law is supreme over state or local law. As result, any person, business or even a farm or city that qualifies for bankruptcy can file bankruptcy in the appropriate federal court. It is convenient for the people you owe as well (the "creditors"). All creditors file claims in one Court. Our law firm will help you decide which Chapter of Title 11 of the United States Code you use.
Contact Tennessee Bankruptcy Lawyer David F. Cannon
To learn more about the historical roots of bankruptcy, and how bankruptcy can help you escape major financial difficulties, call 615-800-3725, toll free at 877-696-8680, or e-mail our law firm today to schedule a confidential consultation with our law firm.
We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.
