Read twice and referred to the Committee on the Judiciary.
Congressional Research Service
Official summary
Version 00 · Introduced in Senate · Sep 22, 2016
Medical Bankruptcy Fairness Act of 2016
This bill amends federal bankruptcy law to allow a medically distressed debtor to exempt, from the property of the estate in bankruptcy, up to $250,000 of the debtor's aggregate interest in: (1) specified real or personal property that the debtor or debtor's dependent uses as a residence, (2) a cooperative that owns such property, or (3) a burial plot for the debtor or debtor's dependent.
With respect to a medically distressed debtor, the bill waives certain administrative and procedural requirements.
In addition, the bill allows a medically distressed debtor to discharge in bankruptcy debts for certain educational loans.
A debtor who seeks relief as a medically distressed debtor must attest in writing, under penalty of perjury, that the debtor's medical expenses are genuine and were not specifically incurred to bring the debtor within the meaning of "medically distressed debtor."
No related bills are listed in this snapshot. This does not establish whether the proposal has appeared in earlier Congresses.
Source last updated: Aug 10, 2026. Consult Congress.gov for the current record.
AI Conversation Starters
Explore the bill from different angles
Choose a perspective, copy a prompt, and paste it into your preferred AI. Each prompt includes the bill version and available official source links, and asks for counterarguments as well as supporting evidence.
Neutral evidence review
Objective
Analyze S.3385 as objectively as possible. Explain its main provisions, who would be affected, possible benefits and harms, implementation, exceptions, and uncertainties. Present the strongest arguments for and against it, and identify evidence needed to assess its public impact.
View full prompt & sources
Fairness and public impact
Progressive lens
Examine S.3385 through a progressive lens, focusing on fairness, access, economic inequality, and effects on vulnerable communities. Explain potential benefits, costs, and unintended consequences. Consider the strongest counterarguments and distinguish stated goals from demonstrated outcomes.
View full prompt & sources
Institutions and government scope
Conservative lens
Examine S.3385 through a conservative lens, focusing on fiscal responsibility, institutional stability, federalism, and the scope of government. Explain potential benefits, costs, and unintended consequences. Consider the strongest counterarguments and any provisions that challenge this perspective.
View full prompt & sources
Individual rights and government power
Liberty lens
Examine S.3385 through a civil-liberties and limited-government lens. Consider individual rights, privacy, voluntary choice, accountability, and government power. Explain tradeoffs, possible safeguards, and the strongest counterarguments without assuming the proposal is beneficial or harmful.