23 Apr Analyze the facts in the scenarios and develop appropriate arguments and recommendations using case law and scholarly sources
Select two of the scenarios provided below. Analyze the facts in the scenarios and develop appropriate arguments and recommendations using case law and scholarly sources. Do not copy the case studies into the paper. Using APA format, submit a 3 to 4 page paper, not including the cover page or references. Cite your sources in APA format on a separate page.
Scenario 1—Bankruptcy
Kitty, a bookkeeper for Jabil Circuit, filed a petition in bankruptcy under Chapter 7, seeking to discharge $65,000 in credit-card debts and $45,000 in student loans. Kitty’s husband died and left her with two children, Daniel, who attended college, and Darius, who was 14 years old. According to Kitty, Darius was a star football player who practiced ten to fifteen hours a week and made all-star for two years. Kitty’s petition showed monthly income of $4840 and expenses of $5,050. The expenses included annual football expenses of $6,500. The expenses did not include college costs for Daniel, or airfare for his upcoming summer trip to Budapest, and other items. The trustee allowed monthly expenses of $4,200, with nothing allocated for football expenses and requested that the court dismiss the petition.
If Kitty qualified for Chapter 7, which debts would be discharged? Which debts would not be discharged? Why?
Using the median income from your state, does Kitty qualify for Chapter 7? Remember to count the number of people in the household.
If Kitty earns too much money, what are the next steps?
Should the court grant the trustee’s request? Does Kitty have other options if the Chapter 7 petition is dismissed?
Explain your answers and support them with relevant scholarly sources.
Scenario 2: Real Property
Karl purchased 10 acres of land with a log cabin home in the Smoky Mountains from Rufus, but never recorded the deed. Rufus stayed on the property as a tenant for two (2) years. Near the end of the two years, Rufus learned that Karl never recorded the deed. Rufus advertised the 10 acres for sale and Devon negotiated with Rufus thinking that Rufus was the owner. Finally, Devon checked the records at the recording office and, finding no reason to question Rufus’s ownership of the property, purchased the 10 acres from Rufus. Devon recorded the deed and Rufus took the proceeds and moved to Florida. Meanwhile, Karl failed to pay the real estate taxes on the property for the two (2) years in question thinking it Rufus’s responsibility as the tenant. When Devon started to build a barn on the property, Devon and Karl argued over the ownership of the property. Decide the case between Devon and Karl.
Decide whether Karl is responsible for the two (2) years of real estate taxes assessed while Rufus occupied the property as a tenant.
Discuss Rufus’s liability to the parties.
Support your answer with information from the textbook and other scholarly sources.
Scenario 3 – Bankruptcy
Locate one of the following scholarly articles about bankruptcy in the SUO Online Library. Summarize the article in your own words. Identify and discuss the most important aspect of the article, as well as any ethical issues. You may select an article not on list, but you must request approval from your instructor to use the article 48 hours prior to the assignment due date.
