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Former Rep. Bill Faison files for bankruptcy

Posted January 8, 2014

State Rep. Bill Faison talks to WRAL News reporter Adam Owens and photographer Mark Simpson after the N.C. Governor Debate at WRAL-TV.

— Bill Faison, a former state lawmaker who ran for governor in 2012, has filed for bankruptcy, federal court filings show.

"We anticipate all creditors will be paid," Faison said during a phone interview Wednesday evening. 

Court documents show that Faison, a lawyer, owes more than $7.1 million but list assets over roughly $9.4 million, including various properties in North Carolina and Virginia and several vehicles. 

Faison is a former Democratic lawmaker from Orange County who gave up his seat to run for governor in 2012. He lost the Democratic primary to then-Lt. Gov. Walter Dalton. He said his financial difficulties are unrelated to his gubernatorial campaign.

"This (has to do with) a combination in the statutes related to medical malpractice cases change and the great recession," Faison said.

The debts that triggered the filing, he said, were business debts that he personally guaranteed.

"There needs to be a restructuring of that commercial debt, and this was the best way to do that," he said.  

Court filings in the case are comprised mainly of lists of assets and liabilities, but the file does say that Faison plans to retire from practicing law after July 1. Faison said he will be 67 in February and has less of an appetite for pursuing lengthy trials.

That said, Faison said, he plans to do something after July 1, he just hasn't settled on exactly what. 

Documents in the court file also note that some property is tied up in a dispute with Faison's ex-wife, Lindy Creech Faison. However, there is no listing of consumer debt, nor does Faison owe back taxes to the state or federal government. 

The court filings mention that Faison is considering a possible lawsuit against Jeanie Milliken Bonds. Bonds, who served on Faison's campaign staff, is a Democratic communications and political consultant. Shortly after his failed gubernatorial bid, Faison and Bonds formed LiveWire Media Productions. Plans for the company included launching a North Carolina-based political affairs show, but that show never came about. 

In his bankruptcy filing, Faison says he has a "potential claim against Jeanie Milliken Bonds for conversion of Debtor's property, misappropriation of corporate assets and usurping corporate opportunities."

Asked about that potential claim Wednesday, Faison said bar rules don't allow lawyers to discuss pending litigation.

"I feel constrained and prohibited from discussing anything related," he said.

For her part, Bonds said she was unclear on what Faison could be claiming. She said that, while they founded the company, they never had an operating agreement or managed to put a show together. The company, she said, owns some furniture and a logo.

"I haven't seen him in about a year," Bonds said late Wednesday. "This is complete fiction and make-believe."

14 Comments

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  • dukediva Jan 10, 2014

    @ cushioncritter: I'd love to know where you came up with this information. No legal redress? Decreased life expectancy because someone can "only" sue for 500K?

  • cushioncritter Jan 10, 2014

    Not mentioned in the article: Bill Faison's law firm specializes in Medical Malpractice cases. Recent tort reform last year by the NC GOP legislature has effectively immunized hospitals and doctors from the threat of lawsuits, to the point they can drop their malpractice insurance. Since the maximum "non-economic" damages are now $500K, and law firms take the cases on contingency for a 40% fee ($200K), even slightly complicated cases are not profitable. The combination of needing to reduce treatment stays/costs due to lower insurance reimbursement plus no legal redress for such "care" will cause the average life expectancy of patients needing advanced care to drop 10-15 years in NC over the next few years.

  • The Oracle Jan 9, 2014

    9.4 million - 7.1 million = $2.3 million
    I would like to be that bankrupt.

  • stymieindurham Jan 9, 2014

    but that show never came about.
    ==================================

    Because no one would have watched the political liberally biased program.

  • Raleigh Rocks 1 Jan 9, 2014

    i think you may be suffering from persecutory delusion complex. 'Rep' is the standard abbreviation for representative....pedro

    Nope, as I am an informed voter, some might however. If it is a Dem, they rarely put a D beside the name if it is bad news for dems. They Should have written...Rep. Faison (D)...independant journalist should be consistant in their reporting. Do you not agree.?

    In addition, the definition: Persecutory delusions are a delusional condition in which the affected person believes they are being persecuted. Specifically, they have been defined as containing two central elements:[1]

    The individual thinks that harm is occurring, or is going to occur.
    The individual thinks that the perceived persecutor has the intention to cause harm.

    This does not apply to me at all, and I question your understanding of the definition to accuse me of it based on the post.

  • GravyPig Jan 9, 2014

    View quoted thread



    This is why we read articles and not just headlines. There is nothing sneaky or underhanded being done here.

    Do you go to the library and just read the titles? How absurd do you have to be to blame someone for being sneaky when the facts are right there in black and white. Sounds more like your partisan goggles are obstructing your view.

  • Justic4All Jan 9, 2014

    A bankrupt lawyer? How did that happen? Must have spent like a Democrat with not enough incoming to cover the outgoing. The Democratic mantra at work.

  • arfamr1009 Jan 9, 2014

    this is typical of how democrats handle their money

  • HeadsUp Jan 9, 2014

    Pride goeth before destruction, and a haughty spirit before a fall.

  • Vote for Pedro Jan 9, 2014

    View quoted thread



    I think you may be suffering from persecutory delusion complex. 'Rep' is the standard abbreviation for representative. If he was a senator then it would be 'Sen', would you think they were picking on seniors?

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