Long Islanders filing bankruptcy can now protect $150,000 for individuals and $300,000 for couples in home equity if they file for bankruptcy. This is in contrast to the $50,000 and $100,000 previously available. This is a huge change and a huge chance for a fresh start for many homeowners with equity. If you haven't considered bankruptcy because your house has a lot of equity, but you are otherwise strapped with bundles of credit card debt, this one is for you. Thank you Santa Paterson.

To read the law, click here.

Also, for all you contractors out there, the new law also increases the exemption from bankruptcy for tools of the trade from $600 to $3,000. So, now you can keep working after a bankruptcy with your tools by your side.

Many in the news are saying that Home Affordable Modification Program is dying. They point to insufficient income as the cause, I submit its insufficient application skills. My firm has many alive HAMPs. I am lecturing attorneys in Nassau this evening on how to navigate the program as well as the rest of Making Home Affordable. The problem is all of the press that says homeowners can do this themselves and that they don't need help. Yes, homeowners can technically submit their own application, but having a lawyer seems pretty important in all other aspects of citizens legal lives (for instance Miranda Rights), why not here? Lets get some really trained attorneys who can fight for our clients in CPLR 3408 Settlement Conferences and you will see HAMP be reborn!

On April 21, 2010, the United States Supreme Court ruled that an attorney for the lender in a mortgage foreclosure action can violate the Fair Debt Collection Practices Act (FDCPA") regardless of the exception for an unintentional and bona fide error under Section 1692k(c)because a lawyer is supposed to know the law and therefore an error cannot be unintentional.

This should keep foreclosing lenders in check because they often are overwhelmed and unsure of the facts and law in front of them at foreclosure settlement conferences and in HAMP applications.

It seems that our society is really moving to a pro-borrower stance.