Phone: (313) 417-8422
Fax: (313) 417-8469
18232 Mack Ave
Grosse Pointe Farms, Michigan 48236
The Law Firm of Joseph L. Grima & Associates, P.C. has been involved in two recent landmark decisions that helped define the new bankruptcy laws which became effective October 2005.
• Prior to the law changes of October 2005, a Debtor lost the right to contribute into and/or repay a loan against his 401k retirement plan once he filed a Chapter 13 Bankruptcy. The prevailing law required that said contributions and/or repayments stop and instead be given to the creditors in the bankruptcy to be paid as an additional dividend. This created an inequitable outcome for the Debtors. Once Debtors stopped repaying their 401k loans, the Internal Revenue Service would hit them with a penalty claiming that the Debtors took a distribution since they stopped repaying their 401k loans, regardless of the fact that the Debtors had no choice because bankruptcy law mandated that they stop repaying said loans. The law changes of October 2005 indicated that Debtors could continue putting money into their 401k's, but without specifying whether they continue to contribute into the 401k, or repay loans against the 401k, or both. The prevailing wisdom was that only loans against 401k's could continue to be repaid but that contributions into the 401k plans must stop. Mr. Grima successfully litigated to allow Debtors to BOTH continue to contribute into and repay loans against their 401k's.
• In 2007, Mr. Grima successfully appealed to the United States District Court to protect a client from “predatory” mortgage practices. Prior to this appeal, mortgage companies regularly ignored the rule of law, saddling Debtors with huge unexplained “escrow fees” and then setting up the Debtors for foreclosure. Up until Mr. Grima's appeal, conventional wisdom had been that such an appeal would not succeed. Mr. Grima's successful appeal set in motion the creation of new rules to protect Debtors from such predatory practices.
Joseph L. Grima & Associates has the highest success rate for “confirming” Chapter 13 Bankruptcies in the Eastern District of Michigan, as well as one of the highest success rates in the country. Over 95% of the cases he files confirm.
Local Bankruptcy Trustees, Bankruptcy Practitioners and colleagues within the field regularly refer their “problem cases” to Joseph L. Grima & Associates, P.C.. Mr. Grima has been consistently complimented and distinguished as one of the top attorneys practicing bankruptcy law today.
J.D., University of Detroit , 1989
B.A., Hunter College of City University of New York , 1986
State Bar of Michigan Association , 1991
United States District Court, Eastern District of Michigan , 1991
United States Court of Appeals, Sixth Circuit , 2007
Carla Craig-Likely v. Wells Fargo Home Mortgage Civil Case No. 06-13665, 2006
Attorney Joseph Grima represented Debtor in a mortgage predatory action. The mortgage company violated Local Rules of Bankruptcy Procedure yet claimed that pursuant to the United States Supreme Court they could not be held accountable. Mr. Grima was able to show that the Supreme Court decision in question did not apply when the mortgage company broke the law (as they did when they violated Bankruptcy procedure). The mortgage company was held accountable. This was a landmark decision in the Eastern District of Michigan. The result obtained in this case had never been obtained before.