Chapter 11 Bankruptcy
Chapter 11 Bankruptcy – Reorganization
Chapter 11 bankruptcy is the reorganization of the debtors business affairs, debts, and assets. Corporations generally file Chapter 11 if they need time to restructure their debts. This version of Bankruptcy gives debtors a fresh start. A business may continue to run in the midst of filing chapter 11.
The business is not able to make some decisions without the permission of the courts. These include the sale of assets, other than inventory, starting or terminating a rental agreement, and stopping or expanding business operations. The court also has control over decisions related to retaining and paying attorneys and entering contracts with vendors and unions. Finally, the debtor cannot arrange a loan that will commence after the bankruptcy is complete.
Southern Utah Chapter 11 Bankruptcy Attorney
Tony Jones is a seasoned bankruptcy attorney here at Ruesch & Reeve PLLC, he has years of experience and has filed thousands of bankruptcy cases in Utah. From effectively providing insight regarding your rights, helping you understand the basics, and protecting your rights through the entire process giving our clients the very best advice and peace of mind during this difficult time.
Is Bankruptcy Right for Me?
Deciding whether to file for bankruptcy and what type of bankruptcy, will depend on your financial circumstances and goals. There are three types of bankruptcy we explore with each client during our initial consultation. Chapter 7 offers a way to discharge and eliminate debt but may require the surrender of some assets. Chapter 13 (for individuals) and Chapter 11 (for businesses) involve the reorganization and repayment of debt under the protection of the bankruptcy court.
Ruesch & Reeve PLLC can guide you through your bankruptcy options so that you know every advantage and disadvantage of bankruptcy when deciding if bankruptcy is right for you.