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Only licensed attorneys may represent debtors in bankruptcy court. In
addition to a state bar license, attorneys who regularly represent
clients in federal courts, including bankruptcy courts, must obtain a
supplemental federal license from the clerk of the federal district in
which they appear. The term debt relief counsel is a generic moniker
often used when referring to credit counselors or to lawyers who advise
clients of rights and options in lieu of filing bankruptcy. Many lawyers
develop successful practices negotiating debts, settling debts, and
litigating specious claims for the sole purpose of avoiding bankruptcy.
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