Each day individuals in the state of Florida decide to file for Chapter 7 bankruptcy protection. The reason each person makes that very big decision, is different for each person.
Some decide to seek to get out of debt in that way because they have run up a large amount of credit card debt. Others find themselves in the position because of medical problems that have led to massive bills to pay back. More recently many have turned to bankruptcy after losing their jobs. Still other individuals have different reasons.
Leigh Steinberg, a sports agent perhaps best known as being the inspiration behind the character of Jerry Maguire in the hit 1996 film, recently filed for Chapter 7 bankruptcy protection. During the course of his successful career he represented a series of NFL players like Steve Young, Ben Roethlisberger, Warren Moon and Troy Aikman. He revealed that his reason for filing was his addiction to alcohol.
According to an interview he provided the Associated Press, the problem arose not while he was drinking, but actually while he was in rehab, seeking treatment. During that time he said he did not pay attention to his financial state and went several million dollars into debt.
In a Chapter 7 bankruptcy filing, the assets of the debtor are sold and the proceeds are disbursed to creditors. In turn, the creditors discharge any remaining debt.
Whatever one’s reasons for filing a bankruptcy petition, it is important to make sure it is the best avenue to take. Taking the time to consult with an experienced bankruptcy attorney can often do that.
Source: Digital Journal, “‘Jerry Maguire’ inspiration Leigh Steinberg files for Chapter 7,” Andrew Moran, Jan. 12, 2012