Bankruptcy Laws

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At Sadek Bankruptcy Law Offices, we realize that every situation is different. Our debt relief lawyers will take the time to learn about your situation and your goals. Our objective is to explain your legal options and offer the best debt relief strategy for you in the most compassionate and friendly manner possible. Call 24/7 to schedule your meeting with a lawyer.


Our office understands the financial stress our clients endure. Therefore, in addition to reasonable legal fees, we offer a payment plan to all of our valued clients to make quality legal services most affordable.


In addition to our primary law office in Center City, Philadelphia, we also have law offices throughout the Greater Philadelphia, Pennsylvania Area and in New Jersey. Our branch offices have contributed to making us the #1 Bankruptcy Filer and debt relief firm in the Greater Philadelphia area. Our goal is to have a convenient location within 20 minutes of where our clients work or reside.

The Bankruptcy Abuse Prevention and Consumer Protection Act of 2005

The new law establishes a more strict criteria for Chapter 7 filing. A debt can typically be discharged in a Chapter 7 bankruptcy if it is unsecured, meaning that there is no collateral backing it up.

This includes debts such as credit card debt, medical bills and most personal loans. A Chapter 13 bankruptcy case involves a three to five year repayment plan. To qualify for Chapter 13, you must have a regular source of income, have enough disposable income, and your debts may not be too high.

The central feature of the new bankruptcy law is a “means test.” A means test stipulates that if your income is above a specified level, then you are not permitted to file bankruptcy under Chapter 7 and must use Chapter 13 instead.

Chapter 13 requires that you enter into a repayment plan rather than simply liquidating your debts. In general, those with household income over the median income for their state are likely to be forced into Chapter 13 proceedings; however, this may not always be the case.

Makes The Means Test Complex :

  • Living Costs
  • Health Insurance
  • Business Expense Needs
  • Domestic Support Obligations

There are several allowable exemptions and deductions used in determining how much of a person’s income is available for paying unsecured non-priority debt (Chapter 13).

While this makes the means test complex, it is an attempt to compensate for some basic required expenses such as basic living costs, health insurance, business expense needs, and domestic support obligations.

In addition to the means test described hereinabove, under the new bankruptcy law, every Debtor filing for protection under Chapter 7 or Chapter 13 of the US Bankruptcy Code must take a credit counseling and debtor education course. These courses are set up for you in my law office and may be taken online or over the phone. Each course takes approximately 45 minutes to complete.

When you’re filing a bankruptcy, it is critical to understand your legal rights. The Philadelphia, Pennsylvania bankruptcy law firm of Sadek Bankruptcy Law Offices Law Offices personally meets with every client for the initial consultation to determine the appropriate course of action.

If you require assistance with personal or business bankruptcy filing and require the assistance of an experienced bankruptcy attorney in Philadelphia, PA or within the surrounding counties of Montgomery, Bucks, Chester, Delaware Counties and Southern New Jersey.

Please contact the bankruptcy attorneys of Sadek Bankruptcy Law Offices Law Offices, LLC today at (215)-545-0008. We provide a FREE consultation with an experienced Philadelphia debt relief and bankruptcy attorney.