In 1997, my mother defaulted on a 16k sba loan secured by her home, which was foreclosed upon. Now, almost ten years later, there is professional creditor who bought this old debt and is trying to collect upon it. He has served her with papers, and she wants to declare bankruptcy, even though now her credit is all cleared up simply through the passage of time. I know that in California, that Statute of Limitations is 4 years for a creditor to try to collect on a debt via lawsuit. Her lawyer advised her to declare bankruptcy. I don't think she should. I think she should threaten a malpractice lawsuit against her current lawyer for giving bad advice unless she agrees to pay her back the $1000 dollars she paid her for the bankruptcy that she has not done, and not telling her about the statute of limitations for her bad debt, and she should counter-sue the creditor trying to sue her for this debt, since it is going against the fair credit lending act. Any advice?

