April 2024

Quick Facts

Bankruptcies are processed at Central Library. 

Forward bankruptcy letters to 635/CEN/bankruptcy.

Most bankruptcies are resolved under standard fee clearing policies and procedures.

Procedure

1. Send all bankruptcy notice letters to Central Library at 635/CEN/bankruptcy.
2. Central staff will review the account and, if the patron is eligible, will clear fees or, if the amount is over $50, ask Contact Center staff to clear the fees. 
3. We are prohibited by law from trying to collect for those fees on a patron's account which have been included in a bankruptcy filing. Consequently, Central staff will place a message in the History field in the Extended Info tab of the patron's account following this example:
   
   Notice of bankruptcy proceeding received dated 1/04/2022. Do not attempt to collect fees from patron. Balance $75.75. OK to use account. KC/CEN 1/19/2022
    
4. The patron is responsible for any fees accrued after this date, because they are not covered by the bankruptcy proceedings.
    
5. Bankruptcy notices will be placed on children's accounts when parents request that their children's fees be included as a part of the parents' bankruptcy filing. 
    
6. Resolution of bankruptcy notices
   1. If notification is received that all debts are to be discharged, send the notice to Central Library at 635/CEN/bankruptcy. Central staff will clear the fees from the patron's account or, if the amount is over $50, ask Contact Center staff to clear the fees. See Clearing fees.
   2. If notification is received that the case was dismissed, send the notice to Central Library. The bankruptcy History field will be removed and the patron will be held responsible for any fees on the account.

Policy

The library clears fees for eligible patrons immediately.

The library clears all fees from a patron's record when notification is received from the Bankruptcy Court that all debts are to be discharged.

There are several kinds of notices and different types of bankruptcy, so all bankruptcy documents are to be sent to 635/CEN/bankruptcy at Central Library for processing.

Rationale

Patrons who have initiated bankruptcy proceedings are usually eligible to have fees cleared due to financial hardship. 

The library will clear fees if patrons are eligible to avoid service disruptions.

The library allows patrons in bankruptcy situations to continue to use the library because these fees may be removed from their accounts.