8th Circ. Says Bankruptcy Law Unconstitutional

Law360, New York (September 5, 2008, 12:00 AM EDT) -- Bankruptcy lawyers practicing in the Eighth Circuit are free to advise their clients to take on more debt in contemplation of a bankruptcy filing, now that an appeals court has ruled that a section of the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 is unconstitutional as applied to attorney conduct.

The section of the BAPCPA that prohibits debt relief agencies, which includes lawyers, from advising clients “to incur more debt in contemplation” of a bankruptcy filing violates lawyers' First Amendment rights to free speech...
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