A lawsuit has been filed claiming that the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 (BAPCPA) violates the First and Fifth Amendment rights of attorneys and consumers. The declaratory judgment petition, filed by the Minnesota law firm of Milavetz, Gallop & Milavetz P.A. in the US District Court of Minnesota, challenges the constitutionality of the new Act’s provisions that attempt to limit attorneys’ advice to clients and require the classification of debtor’s attorneys as “debt relief agencies.”        

The complaint alleges that the vagueness and broad reach of the new law creates a chilling effect on the public’s right to receive information and advice from attorneys, and limits the freedom of expression of attorneys. Read the complaint, filed Nov. 14. http://www.abiworld.org/pdfs/amendedcomplaint.pdf

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