Other Types of Bankruptcy Chapters
Not many people know that other types of bankruptcy chapters are available.
These lesser known bankruptcy chapters are called Chapter 11 and Chapter 12. How you qualify depends on specific factors, which requires the assistance of a bankruptcy lawyer in Las Vegas.
While our office focuses only on consumer bankruptcy (Chapter 7 and Chapter 13 bankruptcy), In an effort to keep the Las Vegas community informed on bankruptcy law, we will discuss these bankruptcy chapters in case you ever need them.
Other Bankruptcy Chapters: Chapter 11 and Chapter 12
Chapter 11 Bankruptcy
This form of bankruptcy is used by large businesses, limited liability companies, partnerships and corporations. This type of bankruptcy allows the business entity to bring together their debts and reorganize them. Additionally, this allows them to continue operations of their business.
Companies are not allowed to use Chapter 13. Companies are allowed to use Chapter 7 bankruptcy, if eligible, but they would have to close their business. A business owner may not mind this, but for those that believe in their business and brand, find chapter 11 the better option.
Chapter 12 Bankruptcy
This form of bankruptcy is reserved only for family farmers and family fisherman who work as an individual, an individual with their spouse or a business structure such as a partnership or corporation.
Chapter 12 bankruptcy is similar to Chapter 11 bankruptcy and Chapter 13 bankruptcy that it allows the individual or business entity to reorganize their debts and provide a plan of repayment. The difference is that the farmer or fisher can pay back their debts seasonally.
What Type of Bankruptcy Is Right for Me?
It depends. Bankruptcy in Las Vegas is a tricky subject best handled by our bankruptcy attorneys in Las Vegas.
If you need any assistance in consumer bankruptcy, contact our bankruptcy firm today.