You always have the right to control who represents you in legal matters. That is a fact that is always true no matter what type of legal situation you find yourself dealing with.

If you filed a bankruptcy and Firm A represents you; you have the right to fire Firm A and hire Firm B to substitute in as counsel.

REASONS WHY YOU MAY FIRE AN ATTORNEY

You do not have to justify your reasons for wanting to make a change in representation. Reasons why clients have made changes are lack of communication, lack of clear strategy, negligent work. Mostly any change in attorney boils down to dissatisfaction on the part of the client. And it’s your right to seek representation which works for you and your situation.

ATTORNEY FEES IN BANKRUPTCY

In a chapter 13 you will have to pay the remaining balance of the flat rate fee.

If you are hiring a new attorney to handle your chapter 7, you will likely make a new fee arrangement with the attorney. Any refunds of fees from Firm A, that you fired, will depend on how far in the bankruptcy process you’ve gone as well as the provisions of the retainer agreement you signed at the beginning of the bankruptcy.

ADVICE FOR MAKING A SWITCH

Advice for choosing a different attorney is the same advice for choosing an attorney in the first place. You should choose an attorney that makes you comfortable, if you do not have a comfort level you will not be open with your attorney; if you cannot be open with your attorney, he or she cannot provide the level of service needed in order to achieve the goals you want.

Also make sure the attorney you are considering answers all of your questions and has an office and staff dedicated to providing prompt responses to emails and phone calls.

Some of the variables can be:

1. What years do you owe the IRS for and were the returns filed timely?
2. How much do you owe the IRS?
3. What is your current household income?
4. Do you have any additional expenses outside of the Bankruptcy case?

All of these factors come into play when you’re discussing keeping your tax refund.

When asking yourself if my refund will be taken by the IRS remember it’s all about timing. Your case can be filed and if months down the road you are owed a refund the IRS can offset your refund and turnaround and adjust the amounts they claimed are owed in your case. That’s why it is so important to have a firm understanding of how much is owed to the IRS and for what years. You want to make sure that all previous years returns are filed and the amounts claimed in your case are correct.

If by chance the Trustee assigned to your case shows interest in your refund depending on your current income there are ways to still keep your refund. Chapter 13 Bankruptcy is a five-year process and during this time most people will have daily expenses that were never accounted for in their case. Examples of this could be needing to install a new fence on your home, large vehicle repairs, school expenses for yourself or child and most people have some kind of medical expenses incurred over a five-year period.

Most of our clients are able to retain their tax refund based on a showing that they have reasonable expenses that they intend to use the refund to cover.  The key is to get with your attorney as soon as you file your tax return showing you will receive a refund.