Category Archives: Civil Judgments and Bankruptcy

Is My Personal Injury Settlement Protected in Bankruptcy?

A personal injury settlement in Michigan may be protected in bankruptcy in a number of different ways depending upon the classification of the settlement funds.

Personal injury settlements may be awarded by Michigan district or circuit courts for different purposes: lost wage replacement, medical expense damages, caretaker or nursing services, and punitive damages, to name a few settlement categorizations. Depending upon which of these categorizations applies to a specific sum of settlement funds, the settlement may or may not be protectible in bankruptcy.

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Can I Discharge a Personal Injury Judgment in Bankruptcy?

A claim or a judgment for an injury that is the result of an “intentional” tort is not dischargeable in Chapter 7 or Chapter 13 bankruptcy, but it may be repaid according to your ability to repay after household expenses are accounted for in a Chapter 13 bankruptcy.

To read more about this topic, please click here to read our full article on personal injury claims and judgments in bankruptcy on the new Michigan Bankruptcy Blog of The Hilla Law Firm, PLLC.

If you are a southeast Michigan resident and are considering filing for bankruptcy, please contact us at (866) 674-2317 or john@hillalaw.com to schedule a free, initial consultation.