The purpose of the Chapter 7 law is to liquidate the debtor's nonexempt (i.e., unprotected and unencumbered) property for the benefit of creditors. When a Chapter 7 case is filed, a trustee is appointed to administer a bankruptcy estate of the debtor's nonexempt assets. From assets liquidated by the trustee, the estate pays the trustee's compensation and expenses and distributes the remaining proceeds according to priorities set forth in the Bankruptcy Code.

Within 2-3 days after a Chapter 7 case is filed, the Court Clerk mails a notice to affected creditors setting a Meeting of Creditors in 25-40 days. The debtor appears at the Meeting and answers questions posed by the Trustee and occasionally by creditors (if any) who elect to attend. The creditors and the U. S. Trustee have between 10 and 60 days after the Meeting to object to:

• the discharge of individual debts,
• the debtor receiving a discharge in general, or
• any alleged abuse of bankruptcy law because (based on the Means Test) a five-year Chapter 13 monthly repayment case was not filed instead of the Chapter 7 case.
• improper filing issues or more commonly requests for proof

Our filings almost never result in further requests for proof or evidence.  In those cases that have resulted in additional review over 95% have resulted in the obtaining the same degree of relief as originally sought.

Please note that the new Washington homestead is changing the usefulness of chapter 13 because more persons can save their home now under chapter 7 in Washington.

To summarize, in the vast majority of cases if the attorney has done his or her job correctly, the trustee issues a report of no asset/distribution and the debtor walks away having cancelled the obligation to pay virtually all of his previous bills, debts, obligations and loans.