Bankruptcy

My office has represented individual and corporations in filing for protection under Chapter 7, Chapter 11, Chapter 12 and Chapter 13 of the Bankruptcy Code.

My office has represented Chapter 7 Trustees both as general counsel and as special counsel in many different areas of the law.

While we can explain thoroughly in a face to face meeting the differences between the various chapters in a bankruptcy, generally the following apply:

Chapter 7:

This is commonly referred to as a "liquidation" bankruptcy and corporation and individuals can qualify.  In this chapter you attempt to discharge or eliminate all of your past due debts and a Trustee is appointed to evaluate all of your assets and debts.  He or she, then determines if any of your assets cannot be protected by the exemptions provided to you by law. If there  are any "non-exempt" assets, the Trustee can sell them and pay your creditors a portion of what they are owed.  In most cases there are no "non-exempt" assets.

Chapter 11:

This is chapter designed to aid corporations or individuals engaged in business with a large amount of debt and a significant amount of assets and the company or individual wishes to reorganize their business or participate in an orderly liquidation of some assets to pay a portion or all of their debts.
 
Chapter 12:
 
This bankruptcy is for entities that derive over 50% of their income from farming or fishing.

Chapter 13:

This chapter is often referred to as a "wage earners reorganization bankruptcy."  This is available to individuals.

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