I am a school administrator. A student has not been following the monthly payment plan she signed at enrollment. She now has a significant balance but claims her financial obligation should be voided because she filed for Chapter 7 bankruptcy. Her signed payment plan clearly states her monthly payment amount, the payment dates (first of each month), and that if she fails to follow the plan she will be deregistered from upcoming term's classes. Can we deregister this student and what documents will we need? Thank you.
You should direct this question to your attorney. However, bankruptcy is not a license to get free services. The nature of the debt is unclear from your post. Also, there are some exceptions to the discharge of debts related to educational benefits. These questions cannot be adequately addressed on an open forum like this one. The most straight forward remedy would be to require the student to pay in advance for services yet to be provided as that will usually weed out derelict debtors. If that isn't practical, then you will need to have an attorney review the situation more in-depth and give you a legal opinion as to your options.
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