On May 29, 2018, the United States Court of Appeals for the Sixth Circuit issued a ruling affirming lower court decisions that penalties assessed by the State of Michigan for fraudulent collection of unemployment compensation are non-dischargeable under bankruptcy.
The ruling came from two separate cases that were addressed together in a consolidated opinion in Andrews and Kozlowski III v. Michigan Unemployment Insurance Agency. The ruling addresses discharge in both Chapter 7 and Chapter 13 bankruptcy cases.
Moving forward, this case law will affect all filers in the State of Michigan who have obligations owed to the Michigan Unemployment Insurance Agency for fraudulent unemployment claims.
Not to fear, though, help is available. Our firm, Ardelean & Dunne, PLLC, is experienced in addressing claims by Michigan Unemployment Insurance Agency and reducing amounts owed.
If you have an overwhelming debt owed to Michigan Unemployment Insurance Agency, call us today for a consultation. There is no charge if you decide not to hire us.