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Chapter 7 Bankruptcy Laws Article
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Looking at the Forms Bankruptcy Can Take
from:There are many types or forms bankruptcy can take. The US bankruptcy laws are designed to help individuals, businesses and even municipalities that are having severe debt problems that appear to be unsolvable within the current income or revenue levels. There are many reasons why this happens, but the reasons seem unimportant when buried under a mountain of debt. As many people discover when bills become backlogged, debt collection practices are harsh. The phone rings off the hook with collectors, and the late notices and penalty charges only seem to make the situation worse by the day. When you owe back taxes, the IRS is relentless when it comes to collecting the money.
The forms of bankruptcy are defined as chapters. The chapters were written to provide a specific form for filing when you are an individual, farmer, business, or municipality. Most people are aware of the availability of bankruptcy laws applicable to people and businesses, but even counties and cities can find themselves unable to pay their debt. Right now there is a current case in Alabama in which a county cannot pay its sewer bonds and is considering filing bankruptcy.
The first form bankruptcy takes for individuals is chapter 7. A chapter 7 is a liquidation bankruptcy in which your non-exempted assets are used to pay off as much debt as possible and the remaining balances are eliminated. A chapter 13 is called an individual debt adjustment form. In this case, an individual agrees to a court defined debt repayment plan.
Another form bankruptcy can take is chapter 11 which is a business reorganization plan. Under this chapter, the business asks for the debt to be adjusted in a way that makes it workable. The business can also ask for a total reorganization which is often what you read about large corporations doing in order to stay in business. Farm businesses, on the other hand, will file a chapter 12 when needing debt relief.
The other types of bankruptcies are chapter 9 for municipalities and chapter 15 for ancillary cases or cases which don't fit the other defined chapters. There are even bankruptcy laws that address service people who are unable to pay their debts because they are overseas serving their country.
It is easy to see how complex the bankruptcy codes really is and it is a work in progress too. Every day new court cases refine the code based on actual experiences. A good bankruptcy attorney will always stay current on the laws so that you are able to get the best advice possible. The goal is to help you or your business start over again financially, but in a way that is the best fit for your situation.
Chapter 7 Bankruptcy Laws Specific links
Chapter 7 Bankruptcy Laws News
The Law Offices Of Robert Kevin Lee - California Bankruptcy lawyer - Einnews Portugal
The Law Offices Of Robert Kevin Lee - California Bankruptcy lawyer Einnews Portugal We are here to assist you in all issues related to California Bankruptcy Law, with long-term specialization in California Chapter 7, 11, and 13 Bankruptcy Laws. To obtain our FREE consultation services on a priority basis, you have to just fill out the ... |
Mastro associate forced into bankruptcy - The Seattle Times
Mastro associate forced into bankruptcy The Seattle Times US Bankruptcy Judge Timothy Dore's decision Friday to force Hazelrigg into a Chapter 7 bankruptcy will allow a third party to determine once and for all whether Hazelrigg has any assets that can be liquidated and distributed, said James Rigby, ... |
Kennel owner could face more trouble - Northern Virginia Daily
Kennel owner could face more trouble Northern Virginia Daily Whereas Chapter 11 allows for the debtor to reorganize debt, Chapter 7 calls for liquidation under bankruptcy law. W. Clarkson McDow Jr, US trustee for the region, filed the motion Tuesday. Ebersole, representing himself, and other parties appeared ... |
Structured Dismissals (Part I of II): Another Possible Chapter 11 Exit ... - JD Supra (press release)
Structured Dismissals (Part I of II): Another Possible Chapter 11 Exit ... JD Supra (press release) As courts and commentators alike have observed in recent years, sales of substantially all assets pursuant to section 363 of the Bankruptcy Code prior to confirmation of a chapter 11 plan have become common practice in large-scale corporate bankruptcy ... |
Gary Busey files for bankruptcy as court documents reveal he is worth less ... - Daily Mail
 Daily Mail | Gary Busey files for bankruptcy as court documents reveal he is worth less ... Daily Mail The actor has filed for Chapter 7 bankruptcy - also known as straight bankruptcy. It is the quickest and simplest form available under US law. Busey's documents indicate he has less than $50000 in assets and he ticked the box showing he owes between ... Gary Busey Files For Bankruptcy |