Chapter 7 bankruptcy is often referred to as a traditional bankruptcy or liquidation. Filing a Chapter 7 bankruptcy can stop pending lawsuits, creditor levies, sheriff’s sale, and imminent repossessions. A trustee is appointed in all Chapter 7 cases. Non-exempt assets will generally be sold by the Chapter 7 Trustee and the majority of the proceeds will be used to pay creditors. Most Chapter 7 cases only last a few months and can done for a reasonable cost that gives you a fresh start.
Chapter 11 is most often used to reorganize a business and keep it operating in the future. Chapter 11 has many key advantages. Subject to certain conditions, a Chapter 11 debtor may reject an unfavorable unexpired lease or executory contract, which is a contract where the parties have not fully completed the terms of the contract. A Chapter 11 case culminates in the filing of a plan of reorganization and accompanying disclosure statement. Where appropriate, a Chapter 11 can be filed as a small business case, which allows the debtor to streamline the case to a certain extent and generally results in lower legal fees.
When competing with other creditors for a debtor’s limited assets and income, a creditor’s success, in part, depends on its legal counsel. Leighton Feldman provides comprehensive bankruptcy representation to its creditor clients, including the following services:
An adversary proceeding is a type of litigation that is filed in the Bankruptcy Court. An adversary proceeding may be filed by a debtor, creditor, or trustee. Federal Rule of Bankruptcy Procedure 7001 lists a number of issues that must be resolved through an adversary proceeding. An adversary proceeding may be filed by a debtor to avoid a lien. A creditor may potentially file an adversary proceeding to prevent the creditor’s debt from being discharged in a bankruptcy proceeding, or to deny the debtor a discharge of all of the debtor’s debts. In addition, a debtor-in-possession or bankruptcy trustee may file an adversary complaint in order to avoid preferential or fraudulent transfers. Whether you need to file an adversary complaint, or defend one, Leighton Feldman can provide you with aggressive legal representation at a fair price.
We are a debt relief agency.
We assist people in filing for bankruptcy relief under the Bankruptcy Code.
This website is for informational purposes only and does not contain legal advice. Please do not act or refrain from acting based on anything you read on this site.