A paralegal provides several types of assistance in bankruptcy proceedings including: 1. Researching factual issues and verifying exemptions 2. Preparing statements, schedules, proofs of claim, and motions 3. Assembling exhibits, compiling facts, and creating demonstrative aids for litigation Paralegals must always work under attorney supervision and are prohibited from giving legal advice. The modern U.S. bankruptcy system evolved from English law and allows debtors relief through discharge of debts and protection of exempt property. It is organized into chapters for liquidation or reorganization proceedings.