As She Said She Would, Former Oregon First Lady Cylvia Hayes Files for Bankruptcy

Hayes files for protection under Chapter 13, which means she will attempt to arrange a payment plan with her creditors.

Cylvia Hayes (Thomas Teal)

Cylvia Hayes, the former first lady of Oregon, filed for bankruptcy today in U.S. District Court in Portland.

Hayes said on social media a nearly a month ago she was likely to seek protection from her creditors, who include The Oregonian newspaper.

Related: Cylvia Hayes Says She Will Seek Court Protection to Avoid Paying Her Debts.

Individuals who file bankruptcy sometimes file under Chapter 7, a so-called "no asset" bankruptcy in which they are so far in debt they seek to liquidate all assets and walk away from remaining debts. Those whose financial positions are less dire choose Chapter 13, in which they work out a payment plan with the court. Hayes chose the latter option.

In her filing, Hayes listed the number of creditors whom she owes as being between one and 46. She listed assets of between $101,000 and $500,000 and debts of the same amount.

Hayes has not yet filed a detailed schedule of assets and debts that is part of the bankruptcy process. It's already public record, however, that one of her debts is to The Oregonian, which the Oregon Court of Appeals ruled recently she owes $128,000 for attorney fees.

Hayes sued the newspaper in 2015 to block it from obtaining emails she sent when she was first lady between 2011 and 2015.

A Marion County judge ruled, however, that Hayes acted as a public official in her capacity as first lady and advisor to her fiance, then-Gov. John Kitzhaber. That meant her emails were a public record.

The ruling against Hayes made her liable for The Oregonian's attorney's fees and resulted in The Oregonian filing a lien against her Bend home earlier this year as security against the money she owes the newspaper. Hayes appealed the Marion County judge's decision but decided to drop that appeal in June and instead declare bankruptcy.

Kitzhaber resigned in February 2015 amid an investigation into influence peddling allegations related to private consulting contracts Hayes obtained while serving as first lady and his advisor on green energy and sustainability. A federal criminal investigation ended with no charges being filed.

Related: What He Left Behind: Emails ex-Gov. John Kitzhaber's office sought to destroy reveal tensions over power, money and former First Lady Cylvia Hayes.

Michael Fuller, an attorney representing Hayes, said in a statement his client is anxious to resolve her legal and financial issues.

"We look forward to representing Cylvia Hayes in this unprecedented state of affairs," Fuller said. "We're confident that the Chapter 13 reorganization process will enable Ms. Hayes to retain her home and resolve any alleged liens held by The Oregonian."

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