Brevard Consumer Law CenterStudent loan litigation
Student loans are not automatically untouchable in bankruptcy. The office reviews adversary proceedings, Department of Education negotiations, and whether reopening a prior case may be appropriate.
Call (321) 223-1831 for a free initial consultation.
While student loans are generally nondischargeable, there are exceptions. An adversary proceeding can be filed within a bankruptcy case to ask the court to discharge or reduce student loan debt based on undue hardship or another legal ground.
An adversary proceeding is a separate lawsuit filed within a bankruptcy case. It is the procedural mechanism used to ask the court to determine whether student loans should be discharged.
The office can review negotiation options with the Department of Education and loan servicers to see whether a resolution path makes sense.
In some situations, a previously closed bankruptcy case can be reopened to address student loan issues. Whether reopening is appropriate depends on the prior case, the loans, and the relief requested.
Frequently asked questions
They may be reduced or discharged when the legal requirements are met. This usually requires an adversary proceeding and evidence supporting undue hardship or another valid legal ground.
It is a lawsuit within a bankruptcy case that asks the court to decide whether student loan debt should be discharged or reduced.
Sometimes. Whether reopening is appropriate depends on the prior case, the loans, and the relief requested. The court must approve reopening the case.