East Orange: 973-677-9000
Paterson: 973-247-9445
Jersey City: 201-659-6226
Toll Free: 888-827-5493
FREE Initial
Consultation Se Habla Espanol
Go to Practice Area Categories

Are there catch-all provisions in the federal bankruptcy code?

Although a change in employment status might necessitate a look at the protections offered by bankruptcy law, a recent story illustrates that other timetables might also prompt an inquiry. 

Specifically, the story profiled a recent law school graduate who sought to utilize an exemption under Section 523(a)(8) of the bankruptcy code. The provision provides for the discharge of student loan debt if the filer can demonstrate an undue hardship. Perhaps not surprisingly, courts are divided on whether student loans can qualify as an undue hardship. 

The recent graduate, an older student who is actually ten years from retirement age, found that he couldn’t get a legal job after graduation. He also has not yet passed the bar exam, despite three attempts. His law school debt is reportedly over $300,000.

Notably, the filer in this case represented himself. On appeal to the Seventh Circuit, the court actually paid the debtor a compliment for his capable legal skills. On that basis, the court determined that the individual had marketable job skills and that his future prospects weren’t hopeless. Given those hopeful prospects, the court concluded that his situation didn’t qualify under the undue hardship exception of the bankruptcy code

As a law firm that focuses on bankruptcy law, we know that there are certain provisions in the code that are not uniformly interpreted by courts across the country. This story is one example, but there are others. For someone considering the protections of a Chapter 7 or Chapter 13 filing, this should be good news. There may be special circumstances that could benefit from federal bankruptcy law. 

Source: Bloomberg, “Law Graduate Tries to Shed Debt in Bankruptcy,” Patrick Gregory, Nov. 23, 2015

No Comments

Leave a comment
Comment Information


Tell Us About Your Case

Bold labels are required.

Contact Information

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.



  • NACBA | National Association of Consumer Bankruptcy Attorneys
  • NACA | National Association of Consumer Advocates
Review Us
Goldman & Beslow, LLC

Goldman & Beslow, LLC is a Federal Debt Relief Agency by an Act of Congress. We have proudly assisted consumers seeking relief under the U.S. Bankruptcy Code for over 38 years.

FindLaw Network

qr code

7 Glenwood Avenue,
Suite 311B
East Orange, NJ 07017
East Orange Law Office

Phone: 973-414-8069
Phone: 973-419-7631
Phone: 973-419-5266
Phone: 201-205-2496
Toll Free: 888-827-5493
Fax: 973-675-5886
E-mail the firm

NEWARK OFFICE 168 Bloomfield Avenue
Newark, NJ 07104
Newark Law Office

Phone: 973-483-1333
Phone: 973-419-5266
Phone: 201-205-2496
Toll Free: 888-827-5493
E-mail the firm

PATERSON OFFICE 100 Hamilton Plaza,
Suite 405
Paterson, NJ 07510
Paterson Law Office

Phone: 973-247-9445
Phone: 973-419-5266
Phone: 201-205-2496
Toll Free: 888-827-5493
E-mail the firm

JERSEY CITY OFFICE 26 Journal Square,
Suite 603
Jersey City, NJ 07306
Jersey City Law Office

Phone: 201-659-6226
Phone: 973-419-5266
Phone: 201-205-2496
Toll Free: 888-827-5493
E-mail the firm

Back to Top