Nebraska Laws and Legal Materials

Welcome to OVLG's Nebraska laws and legal information center. Here, you can learn about state laws, legal information, and court information. Get links to state government websites and much more.

Debt Consolidation & Settlement

Debt consolidation is a debt relief option that combines multiple debts into one manageable monthly payment. You can also enroll in a debt consolidation program, which can help you negotiate interest rates with your creditors and lower monthly payments.

A debt settlement program helps a consumer pay off the entire outstanding debt balance for less than the original debt. By negotiating with creditors, a consumer can become debt-free faster and with bigger savings.

However, consumers must avoid debt relief scams.

Avoid Debt Relief Scams

People should avoid scam companies, including out-of-state lawyers. Many of these debt relief companies charge high upfront fees but make false promises. As per federal law, charging upfront fees for debt settlement is illegal.

Nebraska's statute of limitations for debt is five years from the last account activity for written contracts and four years for oral contracts. This is the time frame within which a debt collector may sue a debtor and recover the outstanding debt.

Additional Legal Resources for Consumers

Federal Bankruptcy Laws

Federal bankruptcy laws help people and businesses with unpayable debts. Most of the 94 federal judicial districts file for bankruptcy in their respective bankruptcy court. As per law, no bankruptcy cases can be filed in state court.

Bankruptcy law helps people who can't pay off their debts. People can sell their assets to pay off creditors or arrange a repayment plan. People need to follow US Code Chapter 7 and Chapter 13 (Bankruptcy Code) to proceed with bankruptcy.

If a business files for bankruptcy, its assets are liquidated to pay off creditors. Businesses must follow Title 11 of the US Code (Bankruptcy Code) and proceed.

Chapters 7, 11, and 13 of the Bankruptcy Code are used for most cases. The main goals of bankruptcy law are:

Provide the debtor a "fresh start" by eliminating most debts
Pay creditors in order if the debtor owns assets

Steps of a bankruptcy case:

A debtor files a petition to the bankruptcy court (Individuals, couples, companies, etc.)
A debtor must file statements of assets, income, debts, creditors' names and addresses, and debt amounts.
The court clerk informs the creditors about the debtor's bankruptcy petition.
After the petition filing, debt collectors can't make collection calls or harass the debtor. Creditors also cannot sue, garnish wages, or call for payment.
Some bankruptcy proceedings allow a debtor to reorganize and repay creditors, while others liquidate property.

Know more about Nebraska bankruptcy

Nebraska Attorney General's Office Contact Details

Nebraska Attorney General's Office

Company Formation in Nebraska

To form a Nebraska-based company, you must:

Register your company with the state
Produce internal corporate documents
Issue stocks and shares

How much does Nebraska company formation cost?

The Nebraska Secretary of State (SOS) charges $30 to reserve your business name (as of 2024).
To file your articles of incorporation, you must pay the SOS charges of $100 for for-profit corporations and $60 for nonprofit corporations.

Does Nebraska require a business license for a company?

Nebraska doesn't require a statewide general business license to start a company. However, you may need additional licenses, permissions, or registrations for your company based on your location and activities.

Your city, county, and state may require a special permit or license based on your operation:

A standard business license
Seller's license
Professional license
Food or alcohol license

How do I Form a Company in Nebraska?

Follow these steps to form a company:

Name Your Company - Nebraska company names must end with "Corporation," "Incorporated," "Company," or "Limited."
Hire a Registered Agent - Nebraska companies must appoint a registered agent.
File Articles of Incorporation - Form a company in Nebraska by submitting Articles of Incorporation with the SOS.
Create Corporate Bylaws - Nebraska corporations must have Corporate Bylaws. Although required, you don't need to file this internal document with the state.
Select Directors and Initiate the First Board Meeting - In your articles of incorporation, the incorporator may name the corporation's initial directors.
Issue Corporate Stock - Your company may issue stocks to other persons. A person or organization that owns the stocks becomes a shareholder (or "stockholder") in your company.
File Biennial Reports - Your company must file a biennial report with the SOS. The report is due on odd-numbered years by March 1st.
Get an EIN and Pay Taxes - Companies need a federal Employer Identification Number (EIN). You may apply for your EIN on the IRS website. There is no filing fee.

How do I dissolve my Nebraska company?

In Nebraska, the board of directors may dissolve the company with the approval of shareholders. The company must liquidate its assets, pay off its debts, and distribute surplus assets to its shareholders. The SOS must receive Articles of Dissolution after approval. Nebraska charges $45 to file Articles of Dissolution in 2024.

You may contact a Nebraska business attorney and follow the suggested steps to dissolve your company lawfully.

Details of creating a Nebraska company

Nebraska Wills and Living Trusts

How do Nebraska living trusts work?

A "living" trust (also known as an "inter vivos" trust) is a legal arrangement in which you can assign your assets while you are alive. After your death, your beneficiaries will receive the assets and wealth according to the trust laws.

How much does Nebraska trust formation cost?

In Nebraska, a simple Revocable Living Trust typically costs $1,000–$3,000. Complex trusts or attorney fees may increase costs.

Is a trust better than a will in Nebraska?

Trusts have more options for the grantor. Trusts can distribute your assets before or after your death. They also help avoid the expensive probate process. However, assets that are not included in the trust can be distributed by a Will.

Is a handwritten Will allowed in Nebraska?

Nebraska recognizes handwritten (holographic) wills as valid if the signature and material provisions are in the testator's handwriting. However, it's generally recommended to have a properly witnessed and executed will to avoid potential challenges.

Do Nebraska trusts require probate?

A living trust can help avoid probate in Nebraska. It can be used for almost any asset, such as real estate, bank accounts, vehicles, etc.

What invalidates a Will in Nebraska?

In Nebraska, a will may be invalidated if:

It wasn't properly executed (signed by the testator and witnessed by two competent witnesses)
The testator lacked testamentary capacity
The will was the result of undue influence or fraud
It was revoked by a later will or by physical act (destruction)

Know more about Nebraska Wills Know more about Nebraska living trusts