Bankruptcy is a legal process
designed to help individuals and businesses eliminate
their debts with the protection of Federal Law.
Bankruptcies are either described as “liquidation”
(Chapter 7) or “reorganization (Chapter 11 and 13).
Chapter 7 Bankruptcy
In Chapter 7 Bankruptcy, you
are asking the bankruptcy court to discharge most of the
debts you owe. Eligible
consumers and businesses can file under Chapter 7
Bankruptcy, although changes in the bankruptcy laws
instituted in 2005 have imposed new restrictions on who
may qualify for Chapter 7.
Chapter 13 Bankruptcy
You file a repayment plan with
the bankruptcy court in which you propose to repay some
or all of your debts over time. The amount you’ll have
to repay depends on several factors, including how much
“disposable income” you have, the value of property you
own, and the nature of the debts that you have. Chapter
13 is less expensive and less complex than Chapter 11,
but not everybody qualifies for Chapter 13 Bankruptcy.
Chapter 11 Bankruptcy
people who do not qualify for Chapter 7 or Chapter 13 or
businesses attempting to reorganize instead of
liquidating their assets to pay off their debts usually file for Chapter 11. Chapter
11 cases are typically more complex than cases under
Chapters 7 and 13. Like a Chapter 13, the debtor may
propose a repayment plan, but unlike Chapter 13, the creditors
must approve the repayment plan before it will be
approved by the Court.
descriptions are not intended as legal advice, but as a
general overview of Chapters 7, 11 and 13 of the
We will be happy to answer your
specific questions about the difference between these
Chapters (and which is right for you) at your initial
consultation. Call us now at 972-739-5255.
Who is Bartholow & Bartholow?
At Bartholow & Bartholow our bankruptcy attorneys understand the enormous pressure debt can burden you with. We are located in Dallas, Texas and will meet with you, in person, for a free consultation to determine if bankruptcy is the right solution for you. Our bankruptcy lawyers are dedicated to helping our clients stop foreclosure and prevent their assets from being repossessed. We are here to help you; we are here to give you a Fresh Start.
Still have more
Try our Bankruptcy FAQ or Contact us today