Does bankruptcy erase foreign debts? 15 Answers as of August 09, 2011

I have a contract with a foreign sports federation. I can no longer afford the contract and they are pressing for payment. Would bankruptcy erase this debt?

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Heupel Law
Heupel Law | Kevin Heupel
Yes, bankruptcy can discharge a foreign debt.
Answer Applies to: Colorado
Replied: 8/9/2011
Eric J. Benzer, Attorney at Law
Eric J. Benzer, Attorney at Law | Eric Benzer
No
Answer Applies to: Maryland
Replied: 8/6/2011
Law Office of John C. Farrell, Jr.
Law Office of John C. Farrell, Jr. | John C. Farrell, Jr.
I believe that the bankruptcy discharge protect you from foreign debts, especially if you file for Chapter 7. Youshould, list the foreign debts in the filing.If the foreign entity hires a collection agency in the US then you have the right under the Fair Debt Collections Practices Act to dispute the debt and ask them not tocontact you anymore. You can send this letter by certified mail but it is not required. Additionally,I do not know if the foreign countrywill recognize a bankruptcy discharge granted in the USto protect from collection actions that might otherwise be brought there. However, I would suggest not conducting anymore business or obtaining anymore assets in said country. I would also be a good idea not to visit there. Remember things including the laws and protections are very different once you leave the confines of the USA.
Answer Applies to: Massachusetts
Replied: 8/3/2011
Bird & VanDyke, Inc.
Bird & VanDyke, Inc. | David VanDyke
Yes
Answer Applies to: California
Replied: 8/3/2011
Theodore N. Stapleton, PC
Theodore N. Stapleton, PC | Theodore N. Stapleton
A bankruptcy discharge acts as an injunction against the collection of discharged debts. So the foreign federation could not collect the debt here in the US. They may still be able to pursue collection outside the US. I am happy to discuss your options with you.
Answer Applies to: Georgia
Replied: 8/2/2011
    Law Office of Maureen O' Malley
    Law Office of Maureen O' Malley | Maureen O'Malley
    Probably, unless they don't recognize U.S. law. And there could be issues if your a citizen of that country or go there often. You could call their embassy to learn how they are with our laws.
    Answer Applies to: Virginia
    Replied: 8/2/2011
    Law Office of Harry L Styron
    Law Office of Harry L Styron | Harry L Styron
    Bankruptcy would make the debt unenforceable in the United States. If you have overseas assets, it is questionable whether they would be protected by a U.S. Bankruptcy without going through whatever debt resolution process exists where those assets are located.
    Answer Applies to: California
    Replied: 8/2/2011
    The Schreiber Law Firm
    The Schreiber Law Firm | Jeffrey D. Schreiber
    Depends on whether the country recognizes a United States bankruptcy discharge.
    Answer Applies to: California
    Replied: 8/2/2011
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