MY WORKERS’ COMPENSATION CASE IS PENDING, CAN I FILE FOR BANKRUPTCY?

The answer is YES, but there are some key issues for you to consider before you file:

1. WILL I QUALIFY FOR CHAPTER 7?

Unless your debt is primarily business debt, in order to qualify for Chapter 7, you must first pass the Means Test.  The Means Test considers your total household income over the 6 months prior to the month you file bankruptcy and your allowable expenses (based on National and Local Standards used by the Internal Revenue Service) to determine whether you have enough disposable income to propose a repayment plan to creditors.

If your income is below the median income level for your county/state, then you will qualify.  If you were working and earning your regular salary during the 6-month lookback period, your average monthly income may be too high (since your workers compensation benefits are only 2/3 of your wages).  If your income is above the median income, you may still qualify, but you may also need to consider a Chapter 13.

If you are just starting to receive Temporary Total Disability (TTD) benefits, you may need to wait a few months before filing to ensure that you qualify or that your Chapter 13 payment will be manageable.

2. HOW LONG WILL I RECEIVE WORKERS COMP BENEFITS?

Your TTD benefits could last anywhere from 6 months to 6 years.  The length of time that you will receive benefits, will help to determine whether you can propose a long-term repayment plan through Chapter 13 or whether you will most likely need to file a modification of your plan once your income increases.  Filing bankruptcy under the assumption that your TTD benefits will be there forever is setting yourself up to fail.  The steadier your income stream the smoother your Chapter 13 plan will work.

3. IS MY WORKERS COMP SETTLEMENT EXEMPT IN BANKRUPTCY?

In Alabama, the answer is YES.  §25-5-86 of the Alabama Code provides that “Claims for compensation, awards, judgments, or agreements to pay compensation owned by an injured employee or his or her dependent shall not be assignable and shall be exempt from seizure or sale or garnishment for the payment of any debt or liability.”  So, when you receive a substantial lump sum payment, your work injury settlement should be exempt.  However, this begs the question of whether you would even need to file bankruptcy since most of your creditors cannot seize or garnish your TTD benefits.  Make sure you speak with an experienced bankruptcy lawyer before you decide to file to determine the best time to file.

If you are struggling to pay your debts and concerned about the future welfare for you and your family, it is important that you seek the advice of a bankruptcy lawyer to ensure that your assets are protected and the debts you seek to eliminate are dischargeable.  Our attorneys have been assisting consumers and business owners with bankruptcy matters for over 25 years.  If you are considering filing for bankruptcy, please consider contacting the Nomberg Law Firm.  Our office number is 205-930-6900.

Steven D. Altmann has been a lawyer for more than 25 years. Steve has earned an AV rating from Martindale-Hubbell’s peer-review rating and was recently named a Super Lawyer and Top Attorney by Birmingham Magazine in the area of Bankruptcy Law.

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We are a Federal Debt Relief Agency. We help people file for bankruptcy relief under the U.S. Bankruptcy Code.

 

from The Nomberg Law Firm – Birmingham Workers' Compensation & Personal Injury Lawyers https://www.nomberglaw.com/blog/my-workers-compensation-case-is-pending-can-i-file-for-bankruptcy/

MAXIMIZE THE VALUE OF YOUR WORKERS’ COMPENSATION CLAIM

[1]When it comes to navigating your workers’ compensation claim, it may not even cross your mind to wonder how best to settle your claim. The endless onslaught of questions revolving around treating your injury seem to take top billing. But what exactly is your injury worth? Should you seek a lump sum settlement or weekly benefit checks? How long will the checks last? If you take the lump sum option, will it be less than weekly benefits? What is the right amount to settle for? While every case is different, there are important steps every injured worker can take to insure they receive the maximum possible compensation for their injuries.

The first step to take is to report your injury promptly and correctly. Waiting only increases the risk that you will be met with obstacles when trying to prove the details of the accident. When reporting the injury, make sure to put the supervisor or safety department on notice on the event and injury, and make sure you notify them that you need medical care. Also, keep a copy for your own records, if possible. This is how your workers’ compensation claim is initiated.

Next, timely seek medical treatment immediately after incurring your injury. If you wait to receive medical treatment, this could give the insurance company cause to lower a settlement offer or deny your claim. Medical treatment is also the best way to corroborate the details of your injury as reported in your claim. Medical professionals can document the extent of your injury and physical restrictions, which can go a long way in fighting for your claim.

Document every action taken in relation to your claim. While some portions of the process may not seem important, keep all of the paperwork and take notes of what your doctor says and does at each visit. The costs of these visits and treatments can be used in settlement negotiations, the actions of your doctor can be proof of the extent of your injuries, and even your own words to the doctor can be used for (or against) your case. Everything associated with your injury can have the purpose of increasing your compensation. Do not leave anything to chance.

Do not go through this process alone! You really should consult an experienced workers’ compensation lawyer. Do your research online to find the right lawyer for your claim. There are things you do not know about the workers’ compensation process that can be used against you. Everything you say to a medical professional, employer, fellow employee, or insurance company can be documented and utilized for your benefit or for the benefit of the insurance company. To make sure that you avoid the landmines rampant throughout this process, having an experienced attorney on your side who can navigate these pitfalls is invaluable. If the insurance company sends you checks for an incorrect amount, a lawyer can assist you in receiving a check for the full amount. If your employer ignores your claim, a lawyer will know how best to proceed. What you are unaware of can hurt you, so align yourself with a knowledgeable attorney who is familiar with workers’ compensation.

If you are hurt on the job due to unsafe working conditions, seek legal counsel, as you may be entitled to workers’ compensation or other benefits. As we have since 1967, we will continue to protect the legal rights of our clients – those who are hurt on the job while working for Alabama employers.  If you have been injured on the job and want to learn your rights, please consider contacting the Nomberg Law Firm. Our office number is 205-930-6900.

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Bernard D. Nomberg has been a lawyer for more than 25 years. Bernard has earned an AV rating from Martindale-Hubbell’s peer-review rating. In 2030, Bernard was named a Super Lawyer for the 8th year in a row.

 

[1] https://www.matrixinssolutions.com/business-insurance/workers-comp.

from The Nomberg Law Firm – Birmingham Workers' Compensation & Personal Injury Lawyers https://www.nomberglaw.com/blog/maximize-value-of-workers-compensation-claim/

REASONS FOR DELAY IN WORKERS’ COMPENSATION CASES

[1]

When the goal of a workers’ compensation claim is to receive benefits to provide for recovery of an injury, the light at the end of the litigation tunnel seems distant without incurring any delays. Filing a workers’ compensation claim can already seem like a minefield of unknowable traps and obstacles lying in wait without accounting for the likelihood that your case’s end could be pushed back again and again. When medical bills are piling up, the financial stress only adds to the pain of the injury. Rather than leaving more questions unanswered, this article’s aim is to shed some light on what goes on behind the curtain.

Written notice of your injury to your employer must be given within ninety days of the accident for the injury to be compensable, though reporting the injury within five days is recommended. After this, you have two years to file a claim for workers’ compensation benefits. In turn, your employer will notify its insurance provider of the claim for benefits in order to determine the compensability of the injury.[2] This is the starting point of using delay as a tactic against the employee during the compensation process.

It is imperative to keep in mind that insurance companies, like any other corporation, operate for the purpose of turning a profit. While insurance firms may market themselves as for the people or for the employee’s benefit, the financial bottom line is still a driving force of its operation. This leads to insurance adjusters causing undue delay when responding to claims. For example, an adjuster for the insurance provider may ask for an employee to provide information to the insurance firm that is not needed but takes time to produce. Once the information is provided, the adjuster may take longer than necessary to respond to emails or communications from the employee, causing further delay.

The purpose in delay is twofold. On the one hand, it prolongs the time until the insurance provider must pay out the benefits to the claimant, and on the other, it weakens the position of the employee, creating a dire need for benefits so that the employee is willing to accept a lower settlement offer. Insurance companies maintain funds in interest-accruing account. The longer a larger sum is left in the account, the greater the return on the principal. This creates the incentive for insurance companies to delay paying out large lump sum benefits. The delay in a return on the claim, in turn, creates a struggling financial situation for the injured employee who cannot return to work, yet has medical bills stacking up that must be paid. When money is sorely needed, the insurance provider can get away with paying less to the employee who will take whatever he can get in order to avoid amassing debt.

This is the reason consulting a workers’ compensation is of the utmost importance. There is more than meets the eye with filing a claim for work comp benefits, and every employee deserves full compensation for injuries sustained on the job.

If you are hurt on the job due to unsafe working conditions, seek legal counsel, as you may be entitled to workers’ compensation or other benefits. As we have since 1967, we will continue to protect the legal rights of our clients – those who are hurt on the job while working for Alabama employers.  If you have been injured on the job and want to learn your rights, please consider contacting the Nomberg Law Firm. Our office number is 205-930-6900.

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Bernard D. Nomberg has been a lawyer for more than 20 years. Bernard has earned an AV rating from Martindale-Hubbell’s peer-review rating. In 2020, Bernard was named a Super Lawyer for the 7th year in a row.

 

[1] https://www.hq-law.com/blog/workers-compensation/bad-faith-delay-in-payment-workers-compensation/.

[2] https://www.workplacefairness.org/file-workers-comp-alabama#5.

from The Nomberg Law Firm – Birmingham Workers' Compensation & Personal Injury Lawyers https://www.nomberglaw.com/blog/reasons-for-delay-in-workers-compensation-cases/

MAJOR LEAGUE BASEBALL AND WORK COMP CLAIMS

[1]

February 17th was the general reporting date for Major League Baseball’s (MLB) annual Spring Training. All players reported to camp by February 26th. The 2021 season has its Opening Day scheduled for Thursday, April 1, 2021.[2] In the time of COVID-19 and working from home, the thought of regular baseball games to break up the monotony is a bright spot of hope for many. The drama of wins and losses, injuries, and triumphs, will provide much-needed excitement for those of us still unable to regularly meet others face-to-face.

While the game of baseball for fans may be just that, a game, for those on the field, it is their place of work. So what does that entail when a player is injured during a game or training? It happens almost weekly during the season – serious injuries to stars, subs and anyone who is putting their body on the line for their profession. Some injuries are career-ending. Bo Jackson, Tony Conigliaro, and Kerry Wood are three who come to mind. However, most injuries sideline the player for the season or certain periods of recovery. The 2020 season was largely lost to injury for Noah Syndergaard (Tommy John surgery), Stephen Strasburg (carpel tunnel neuritis), and Yordan Alvarez (knee). If the MLB is considered a workplace for its players, does that make injuries compensable by workers’ compensation?

According to a The New York Times report, pursuant to the MLB Collective Bargaining Agreement, since 2003 workers’ compensation insurance covers injuries that incur while a player is “on the job.” Baseball teams are generally obligated to cover the full cost of any medical care that a player requires for a baseball-related injury, regardless of the financial benefits to which the player may have been entitled under workers’ comp. This policy is for more than just the players, it includes any employee of the team as well. The other employees include front office personnel, food services and ushers, team trainers, and many others.

The only difference between team costs on premiums depends on the payroll size, the injury the team must cover, and the fee schedule of the state in which the team operates. What this boils down to is simple. The team covers the cost of the injury, and the player signs over the right to the team to recoup what it can from the workers’ compensation policy. Anything that the policy does not cover is the responsibility of the team. Regardless of the cost of the surgery or the expense of rehabilitation, the team is on the line, as the employer, to foot the bill for the entire amount.[3]

The difference between an injury for a Major League Baseball player and a general employee is that the baseball player does not require temporary disability benefits because he retains the ability to receive his usual salary while sidelined. The only potential point for which a player would seek additional benefits would be if he needed long-term benefits after suffering a career-ending injury. But in the event that a player can heal and return to the game, the team keeps whatever money it can recover in order to offset its costs.[4]

While we all hope our favorite players avoid any injuries this season, at least MLB has a fine-tuned way to get its players back in the game.  Play Ball!

If you are hurt on the job due to unsafe working conditions, seek legal counsel, as you may be entitled to workers’ compensation or other benefits. As we have since 1967, we will continue to protect the legal rights of our clients – those who are hurt on the job while working for Alabama employers.  If you have been injured on the job and want to learn your rights, please consider contacting the Nomberg Law Firm. Our office number is 205-930-6900.

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Bernard D. Nomberg has been a lawyer for more than 20 years. Bernard has earned an AV rating from Martindale-Hubbell’s peer-review rating. In 2020, Bernard was named a Super Lawyer for the 8th year in a row.

 

 

[1]  Sean M. Haffey/Getty Images

[2]  https://www.cbssports.com/mlb/news/ranking-mlb-teams-by-pressure-to-win-2021-world-series-yankees-take-top-spot-from-dodgers-mets-in-top-five/

[3]  https://www.nytimes.com/2013/09/19/sports/baseball/harvey-is-covered-like-any-worker.html?searchResultPosition=1

[4] https://blogs.fangraphs.com/major-league-baseball-and-workers-comp/.

 

from The Nomberg Law Firm – Birmingham Workers' Compensation & Personal Injury Lawyers https://www.nomberglaw.com/blog/major-league-baseball-and-work-comp-claims/

TIPS FOR APPLYING TO LAW SCHOOL

[1]

Applying to Law School

How to Stand Out in the Crowd

 

You have finally made it through all of undergraduate school. It may have seemed like a holding pattern keeping you from finally getting where you have wanted to be all along. Law school. But now that the time has come to apply, what is it exactly that you should be focusing on? The LSAT is only a portion of your application package, so after the test is over, the real work begins.

The most important piece of information regarding the application process is the one that applies to nearly every area of the process: remember that law schools are looking at your whole person. Admissions officers are seeking to understand who you are as a person, not just as a student. While LSAT scores and undergraduate GPA factor greatly into the decision, schools look beyond statistics to gain a better sense of the person behind the numbers. This is where the personal statement takes center stage. This is the applicant’s opportunity to show off not only writing abilities, but a spark of personality. Humanizing yourself to the admissions officer makes a stack of papers stick out. Are you the first in your family to attend law school? What do you plan to achieve by earning a juris doctor? Be genuine and honest in your answer, giving a complete picture of who you are as a person. This can also be the place to compensate for a lower LSAT score or GPA if a standardized test is not the best representation of who you are as a student.[2]

Including letters of recommendation with your application can only help your chances of gaining acceptance. Ask for letters from people such as employers, professors, or mentors who can sing your praises. Make sure that these writers have known you for a significant period in order to give the letter greater weight. If the recommender can attest to your personal growth and achievement over a considerable time, all the better.[3]

Apply to a school that meshes with your goals. If your dream is to be a litigator, search for a law program that boasts trial teams and moot court competitions. If public speaking sounds like your idea of a nightmare, look for a school that touts clubs which focus on transactional studies. Not all schools are equal for every person. Think beyond the law school ranking tiers and find a program the coincides with your plans for the future. Opportunities abound at every level of law school, so fixating on rank alone will keep you from a full scholastic experience.[4]

An area to an application given little thought, because it exists outside of submitted materials, is social media. With growing regularity, social media accounts are scoured as a potential source to accept, or reject, a potential candidate. Using your own name as your account handle is best practice if you plan to keep your social media public as an avenue to display to admissions officers that you have what they will look for in a potential student. Be sure that all the information you make public is of a nature that should be public. Check the photos you are tagged in and remove all traces of activities that would reflect poorly on your potential for academic success. If having your account set to public seems like too much exposure, ensure that your account is set to private. Your masthead photo will still be viewable, so make certain it is a photo you would be comfortable showing to the world, because the world is watching!

Finally, start early! The longer you wait to begin, the greater the margin for panic. While procrastination is peaceful in the moment, nothing compares to finishing your application in enough time to proofread for errors. All the time and hard work spent on your application would be cast in the shadow of missing commas and misspelled words. Can you imagine hitting send only to review your submission and be faced with a screenful of mistakes? Save yourself the heartache and get to typing. Your dreams deserve a head start.

Alexa Wallace is currently a third-year law student at Samford’s Cumberland School of Law, where she is the Research and Writing Editor of the American Journal of Trial Advocacy and Associate Justice of the Henry Upson Sims Moot Court Board. Wallace holds a master’s degree in applied cognition and neuroscience from the University of Texas at Dallas as well as a bachelor’s degree in psychology from Lee University. None of this would have been accomplished without the existence of croissants.

[1] https://www.shu.edu/pre-law/law-school-application-process.cfm.

[2] https://www.lsac.org/blog/deans-share-tips-law-school-application-process.

[3] https://www.thebalancecareers.com/law-school-admissions-tips-2164363.

[4] https://money.howstuffworks.com/personal-finance/college-planning/admissions/5-law-school-admission-tips.htm.

from The Nomberg Law Firm – Birmingham Workers' Compensation & Personal Injury Lawyers https://www.nomberglaw.com/blog/tips-for-applying-to-law-school/

CAN I FILE BANKRUPTCY TO STOP A GARNISHMENT?

One of the most difficult forms of debt collection to overcome is wage garnishment.  Creditors, such as credit cards and medical bill collectors, can often take up to 25% of your net pay.  Debts owed to taxing authorities, such as the IRS, may result in even more being deducted. If you are living paycheck to paycheck, a wage garnishment can ruin your family budget.

A garnishment works like this:  The Creditor will file a Process of Garnishment with the court where it has obtained a judgment against you.  The court will then serve the Process of Garnishment on your employer or your local bank depending on where the Creditor believes it can get the most money.  After your employer or bank is served, you will receive notice of the garnishment giving you an opportunity within 30 days to claim an exemption or file an objection to the garnishment with the court.

Your employer is required to start deducting up to 25% from your wages and send the money to the court.  The Clerk of Court holds the money until the funds are condemned by the Creditor.  The Creditor must file a Motion to Condemn the funds before they are paid from the Court to the Creditor.

This is where bankruptcy can provide you the relief that you so desperately need. The bankruptcy code provides a powerful tool called the “Automatic Stay” which stops the garnishment cold in its tracks.  Once a bankruptcy petition is filed, the automatic stay goes into effect and requires creditors to cease any further collection efforts on the debt.

WHEN DOES THE STAY APPLY?

The stay takes effect as soon as a Voluntary Petition is filed. When filed, a notice is sent to all creditors, informing them of the stay. The notice is usually sent out within a day or two of filing. Rather than waiting, a copy of the notice can usually be obtained from the court docket on the date of filing.  It can then be hand-delivered, faxed, or electronically delivered to the creditor. Since an employee’s wages are being garnished, a copy should go to the employer’s HR department.  The sooner this is done, the sooner the garnishment can be stopped.

CAN I GET MY MONEY BACK FROM THE COURT?

If you file bankruptcy before the funds are condemned by the Creditor, the Clerk of Court will return the money to your employer, who will pay the money back to you.  This is why the timing of your bankruptcy is so important.  Once the funds are paid to the Creditor, the funds are no longer property that you can retrieve just by filing for bankruptcy protection.

If the Creditor attempts to garnish your bank account, the funds in the account will be frozen on the date that the garnishment is received by the bank.  A garnishment sent to your bank is considered a “one-time” garnishment, meaning it does not automatically continue like a wage garnishment.  Once the money is sent from the bank to the court, the bank is no longer obligated to continue sending money to the court.  The Creditor would need to serve another Process of Garnishment on your bank to have it freeze any future funds that you deposit in the bank account.  Filing for bankruptcy will stop the garnishment and force the bank to release the funds in the bank account to you.

WHEN DOES THE STAY NOT APPLY?

The stay does not apply to domestic support obligations, i.e. child support and alimony payments. If a wage withholding order is in effect for either of these obligations, the bankruptcy court will not stay the order, and the support will continue to be deducted from your wages.

If you had two previous bankruptcy cases dismissed within a year of commencing the present case, the stay will not be automatic. Thus, garnishment could continue. However, you may file a motion with the court to impose the automatic stay if you can prove that your current bankruptcy case was filed in good faith.

If you are struggling to pay your debts and concerned about the future welfare for you and your family, it is important that you seek the advice of a bankruptcy lawyer to ensure that your assets are protected and the debts you seek to eliminate are dischargeable.  Our attorneys have been assisting consumers and business owners with bankruptcy matters for over 25 years.  If you are considering filing for bankruptcy, please consider contacting the Nomberg Law Firm.  Our office number is 205-395-0532.

Steven D. Altmann has been a lawyer for more than 25 years. Steve has earned an AV rating from Martindale-Hubbell’s peer-review rating and was recently named a Super Lawyer and Top Attorney by Birmingham Magazine in the area of Bankruptcy Law.

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We are a Federal Debt Relief Agency. We help people file for bankruptcy relief under the U.S. Bankruptcy Code.

from The Nomberg Law Firm – Birmingham Workers' Compensation & Personal Injury Lawyers https://www.nomberglaw.com/blog/can-i-file-bankruptcy-to-stop-garnishment/

LESSONS LEARNED ALONG THE WAY—REFLECTIONS OF A THIRD YEAR LAW STUDENT

Entering the world of law seems a daunting task for us mere mortals just making our start in the industry. Television shows, books, and movies memorialize the law field and the powerhouses that fill it. We see men and women command courtrooms with gravitas and the right amount of drama. Last-minute strokes of genius inspire newbie associates to find the hidden clause in a contract and bring the client victory. A lost witness comes forward at the close of a trial to win over the jury and seal the guilty verdict. While these images are awe-inspiring, they tend to make setting foot in the actual field seem an insurmountable goal and the giants that have already “made it” cast shadows over the hopes of first-year students.

As a soon-to-be graduate and newly minted lawyer myself, I have felt the trepidation that walks hand-in-hand with striking out on a specific career path. Nothing compares to the bewildering newness and overwhelming deluge of information packed onto your plate in those early days. It seems like the start of every class is actually the middle of the semester and everyone knows what is happening except for you. Reading lists are distributed a week before classes start and you should be five chapters into every book before day one even dawns. Oh, and you should have at least an intermediate level understanding of Latin and finding cases in the stratosphere of law databases. All in a single day’s work, right?

I fell into that trap myself, thinking I should have it all figured out while I whipped through assignments at warp speed. But standing on the precipice that is the end of school and the beginning of everything that comes next, I can see what law school was really meant to be. Law school is a boot camp not just for the mind but for your character. The pace and volume of material, while torturous at the time, was not meant to drill into my head that I was inadequate, it was a reminder that lawyers are responsible for the burdens of clients.

What those courtroom dramas and glamorized shows got right was the importance of the job. People turn to lawyers to find someone who will stand up for them when they cannot fight on their own. Law students are not given a break because the world does not take a break. There will always be something new to address, some new wrong to be righted. The three years spent in libraries, classrooms, and intern cubicles is transformative. Stripped away is the fear of failure because of all that is still unknown. What remains is the drive and determination to armor ourselves with knowledge and the skills necessary to bring justice to any situation. Because that is what learning the law is truly about. Not the admiration of juries or awards adorning walls, it is the license to stand in the gap for people and be their advocate.

Alexa Wallace is currently a third-year law student at Samford’s Cumberland School of Law, where she is the Research and Writing Editor of the American Journal of Trial Advocacy and Associate Justice of the Henry Upson Sims Moot Court Board. Wallace holds a master’s degree in applied cognition and neuroscience from the University of Texas at Dallas as well as a bachelor’s degree in psychology from Lee University. None of this would have been accomplished without the existence of croissants.

from The Nomberg Law Firm – Birmingham Workers' Compensation & Personal Injury Lawyers https://www.nomberglaw.com/blog/reflections-of-third-year-law-student/