Everyone knows the new bankruptcy bill is going to make it very difficult for ordinary consumers to file for bankruptcy, and will place an onerous burden on bankruptcy attorneys. But the Dallas Business Journal ran an editorial in the May 6-12 edition that says the bill will also be bad for small businesses.
If even business journals are admitting that laws are passed based primarily on which special interest group gives the most money to politicians, perhaps we are making progress toward eliminating that unfair aspect of politics. Perhaps…
Here is a partial quote from the editorial:
Some estimate that the number of small businesses that make it through bankruptcy reorganization will drop by a third, thanks to this law. That means more companies going out of business, more jobs lost.
We believe that all companies should pay their bills and keep their commitments. And we have never objected to tougher rules if fairly applied to all. But this new law is a slap in the face to the sector of the economy that creates almost all of the new jobs in our country.
Does that mean that Congress and President Bush harbor a secret hatred for the little guy? No. But it does prove that major corporations and powerful financial institutions have better lobbyists than small business interests. That’s what matters in Washington. And the country pays a heavy price because of it.
