Michigan Reaffirmation Agreements:

In Chapter 7 cases, Michigan bankruptcy courts allow debtors to retain collateral used as security for dischargeable debts. Past due amounts must be brought current. Debtors must agree in writing to continue payments. Court approval is required yet seldom denied. In effect, a reaffirmation agreement excludes a specific secured debt from discharge.

NOTICE OF AMENDED FORMS AND AUTOMATIC ADJUSTMENTS TO DOLLAR AMOUNTS: On April 1, 2004, automatic adjustments to the dollar amounts stated in various provisions of the Code will become effective in Michigan Bankruptcy Courts. The new dollar amounts will apply to cases filed after the effective date. These amended dollar amounts will affect the eligibility of a debtor to file under Chapter 13 of the Code, certain maximum values of property that a debtor may claim as exempt, the maximum amount of certain claims entitled to priority, the minimum aggregate value of claims needed to commence an involuntary petition, and the value of luxury foods and services deemed to be nondischargeable. The Michigan Bankruptcy Courts will adopt new forms to incorporate these changes beginning April 1, 2004.

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