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Delaware Sample Letter for Debtor's Motion for Hardship Discharge and Notice of Motion

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Multi-State
Control #:
US-0190LTR
Format:
Word; 
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This form is a sample letter in Word format covering the subject matter of the title of the form.

[Your Name] [Your Address] [City, State, ZIP] [Email Address] [Phone Number] [Date] [Trustee's Name] [Trustee's Address] [City, State, ZIP] Re: Chapter X Bankruptcy Case No. [case number] Debtor: [Debtor's Full Legal Name] Social Security Number: [Debtor's SSN] Dear [Trustee's Name], I hope this letter finds you well. I, [Debtor's Full Legal Name], the aforementioned debtor in the above-referenced bankruptcy case, am I writing to respectfully request a hardship discharge pursuant to Section XYZ of the Bankruptcy Code. Further, I hereby provide notice that I will be filing a motion to initiate the hardship discharge process. I find myself in an extreme financial hardship due to unexpected circumstances beyond my control, making it nearly impossible for me to fulfill my financial obligations within the framework of my current bankruptcy plan. I request the court's consideration for a hardship discharge, which would grant me relief from the remaining obligations under my Chapter X repayment plan. This discharge would be a lifeline towards rebuilding my financial stability and moving forward towards a fresh start. The hardship I am experiencing is primarily due to [briefly describe the significant hardships you are facing, such as job loss, sudden medical expenses, disability, or other catastrophic events that prevent you from fulfilling your bankruptcy plan obligations]. These events have caused severe financial strain, leaving me with very limited means to meet my daily living expenses, let alone make the scheduled payments as per the bankruptcy plan. As required by the Bankruptcy Code, I have explored all possible alternatives to resolve my financial difficulties, including diligently seeking employment, reducing my expenses to the bare minimum, and exploring potential additional sources of income. Despite these efforts, I have been unable to overcome the obstacles in my path and continue making payments under the original repayment plan. Enclosed with this letter, please find supporting documentation, including [list the specific types of proof or evidence you are submitting, such as medical reports, termination letters, financial statements, or any other pertinent documents that substantiate your hardship claim]. I kindly request your attention and expeditious consideration of my motion for a hardship discharge, given the urgency and severity of my situation. Additionally, I ask for your assistance in ensuring that the notice of the motion for hardship discharge is appropriately filed with the bankruptcy court, and that a hearing is scheduled in due course. Please let me know if there are any additional documents or information required from my end to facilitate the processing of this motion promptly. I am open to any guidance or suggestions from your office to ensure compliance with all necessary protocols to achieve a favorable outcome. Thank you for your attention to this matter, and you're understanding of the hardships I am currently facing. I wholeheartedly believe that the granting of a hardship discharge would offer me the opportunity to regain control over my financial life and pave the way towards a more secure future. I look forward to your prompt response and resolution in this matter. Please do not hesitate to contact me at the above-mentioned contact details if you require any further information or have any questions. Sincerely, [Debtor's Full Legal Name] [Debtor's Signature] Enclosures: 1. List of enclosed documents 2. Supporting Documentation.

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FAQ

Terminology can get confusing because "hardship" and "dependency" discharges are often both loosely labeled "hardship." Specifically, a hardship discharge is when the financial needs of family member(s) require more than the military member can provide while remaining in the military.

Discharge (of debts) refers to the process in bankruptcy court, when a debtor is no longer liable for their debts, and the lender is no longer allowed to make attempts to collect the debt. The court will issue a decision to discharge debts.

In Chapter 13 bankruptcy, a hardship discharge is a court-authorized elimination of debt when a debtor is prevented from completing the repayment plan due to financial hardship that arose while their case is open.

When you file for bankruptcy or make a consumer proposal, your debts are discharged, including taxes, credit cards, late bills, lines of credit and personal loans. Under the Bankruptcy and Insolvency Act, only the following debts are not discharged: Fines, penalties or offenses. Alimony and child support.

A hardship discharge ends your Chapter 13 plan, so your opportunity to catch up with debt such as missed mortgage or car payments, priority tax debts or secured tax debts, or past-due child or spousal support also ends.

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Delaware Sample Letter for Debtor's Motion for Hardship Discharge and Notice of Motion