Bankruptcy for Businesses
The restructuring of businesses and collection of debt needs more than just an understanding of the Bankruptcy Code. The lawyers in our Bankruptcy and Financial Restructuring Practice Group are not just knowledgeable bankruptcy lawyers; they are lawyers experienced in mergers and acquisitions, corporate governance, securities law, finance, business litigation and various other legal disciplines that are critical to the successful restructuring of businesses and assisting creditors and others in protecting their rights when a business or borrower is in default. The lawyers that make up this practice group take care of both transactional and litigation related issues and our law firm’s legal representation extends beyond debtors and creditors, consisting of fiduciaries, trustees, equity holders and buyers of distressed assets.
Shumway Van’s bankruptcy lawyers represent secured and unsecured creditors, distressed business, debtors in possession, owners or purchasers of distressed companies or their possessions, investors, lessees, debtor in possession lenders, specialty lenders, and various other individuals in reorganization, liquidation and workout proceedings. Our law firm’s restructuring advisory services for distressed business focus on out-of-court restructurings, repossessions, receiverships and bankruptcy filings under Chapters 7 and 11, including “prepackaged” reorganizations.
In addition to the legal services our lawyers provide when bankruptcy in inevitable or already occurred, the lawyers in our Bankruptcy and Financial Restructuring Practice Group routinely advise viable companies about business structures and modifications that can boost business value and reduce liability and risk. Solutions are also offered to businesses and individuals sued in distressed asset-related litigation such as avoidance and fraudulent conveyance activities (“claw-back” actions).
Bankruptcy for Individuals
Chapter 7, otherwise known as “liquidation” or “straight bankruptcy” is generally the simplest and quickest form of bankruptcy. The benefits of a chapter 7 bankruptcy are available to individuals, married couples, corporations and partnerships. A trustee appointed by the court gathers and sells your nonexempt property and the proceeds from the sale pay your creditors. You’re able to keep any “exempt” property.
Most chapter 7 cases are “no-asset” cases, which means that the debtor doesn’t have nonexempt property for the trustee to sell. When a petition for bankruptcy is filed, the debtor declares whether the case is “asset” or “no-asset” and the burden is on the trustee to change the designation.
Our law firm has dedicated and knowledgeable bankruptcy attorneys that handle its chapter 7 and chapter 13 bankruptcy cases. Our bankruptcy lawyers can give you the immediate debt protection you need right now in order to help you to move on to a more financially stable future. The right choice in a law firm today can make a major difference as you begin to build for a better tomorrow.
A chapter 13 bankruptcy is also called a “wage earner’s” plan. This form of bankruptcy enables individuals with regular income to develop a plan to repay all or part of their debts. Under chapter 13, debtors are able to propose a repayment plan to make installment payments to creditors over a period of time. During the repayment time under the plan the law forbids creditors from starting or continuing collection efforts.
Chapter 13 offers individuals a number of advantages over a chapter 7 bankruptcy, otherwise known as a liquidation bankruptcy. Perhaps most significantly, this type of bankruptcy offers individuals an opportunity to save their homes from foreclosure. By filing under chapter 13, individuals can stop foreclosure proceedings and may have the ability to cure delinquent mortgage payments over time. Another advantage of chapter 13 is that it allows individuals to reschedule some secured debts and to extend them over the life of the chapter 13 plan. Doing this may result in lower payments on those debts. One other special provision in a chapter 13 bankruptcy is that it protects third parties who are liable with the debtor on “consumer debts” (i.e. family members on the same credit card). In some instances, this provision protects co-signers in order to ensure that there is true relief being given.
The attorneys at our law firm are dedicated to helping people get relief from the serious effects of debts that they simply can no longer afford to pay. Our goal is to help you put a stop to the harassment you are receiving from your creditors, as well as consequences such as wage garnishment. Times are hard enough without worrying about who may be taking money directly out of your paycheck. Our attorneys will give you straightforward advice on whether bankruptcy is right for you, and if so, we will guide you through the process.