In a recent twist, popular blogger Tasha K, also known as Latasha Kebe, has filed for Chapter 11 bankruptcy in Florida, after losing a nearly $4 million defamation lawsuit from Grammy-winning rapper Cardi B. This high-profile legal battle has captured significant attention, leaving many wondering about the implications for both parties involved. Let’s dig deeper into the case and explore the potential protections that come with filing for Chapter 11 bankruptcy.
The Defamation Lawsuit
Back in 2019, Cardi B took legal action against Tasha K, accusing her of launching a nasty smear campaign. Tasha K went all out, making false claims like Cardi B having herpes, using a beer bottle as a sex toy during her days as an exotic dancer, being involved in prostitution, and abusing cocaine. The jury ultimately ruled in Cardi B’s favor in January 2023, awarding her over $2.5 million in damages and an additional $1.3 million in legal fees.
Filing for Chapter 11 Bankruptcy:
Given the enormous financial burden resulting from the defamation case and other debt the blogger has accrued, Tasha K seems to have sought financial protection through bankruptsy. This legal step allows individuals and businesses to reorganize their debts while keeping their operations intact. By seeking bankruptcy protection, it appears Tasha K aims to shield herself from her creditors while devising a repayment plan that will fulfill her financial obligations.
Here are some potential protections Tasha may gain since filing:
Automatic Stay: When Tasha K filed for Chapter 11 bankruptcy, she immediately gained the advantage of an automatic stay. This means that all collection efforts by her creditors, including Cardi B, had to come to a halt. Lawsuits, wage garnishments, and asset seizures were put on ice, providing Tasha K with some temporary relief from Cardi B’s legal actions.
Debt Reorganization: Chapter 11 bankruptcy empowers Tasha K to propose a plan for restructuring her debts. Collaborating closely with her bankruptcy attorney, she can create a practical repayment plan that outlines how she intends to settle her debts, including the damages owed to Cardi B. The plan must win approval from the bankruptcy court and demonstrate fairness and feasibility based on Tasha K’s income, expenses, and assets.
Repayment Over Time: Filing for Chapter 11 bankruptcy grants Tasha K the opportunity to repay her debts, including the defamation damages, over a set period, usually spanning three to five years. The bankruptcy court carefully reviews her proposed repayment plan to ensure it aligns with her financial circumstances and serves the best interests of her creditors.
Ultimately, the bankruptsy may provide Tasha a little bit of relief as she figures things out, but she’s not completely in the clear. And to think, all of this could’ve been avoided, but instead Tasha chose to…