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Bankruptcy

At LLG we help Debtors, homeowners, workers, and other clients file for Chapter 7 protection. Chapter 7 is the most common type of consumer bankruptcy due to its relative simplicity and cost. It has generally been the option used by those with a small amount of equity in their asset. It is possible to file a chapter 7 bankruptcy before, during or after a modification. If you are facing foreclosure-The foreclosure prevention and bankruptcy can occur at the same time. Let us help you get a fresh start. Its never too early or too late to file.

Bankruptcy is a powerful tool for managing debt. It gives people a fresh start. Some examples of dischargeable debts include:

  • Credit Card Debt
  • Medical Bills
  • Business Debt
  • Unsecured Loans
  • Most Judgments as result of a lawsuit

However, there are several types of debts that cannot be discharged by filing for Chapter 7. Child support, taxes, student loans, and certain types of court-ordered damages awards are not discharged.

Recent Changes in Bankruptcy Law
The Bankruptcy Code was amended in 2005. The changes generated a great deal of discussion among bankruptcy professionals and concerned debtors. We will guide your through The credit counseling requirement which can be met in our office. Call us to learn more about the protections available to you.

To learn more about your rights under federal bankruptcy law, visit our About Bankruptcy section or our blog.

Chapter 11 bankruptcy is referred to as “business reorganization” bankruptcy. It is specifically aimed at relieving the debts of businesses and corporations. Businesses that file for Chapter 11 are able to continue with almost normal operation as a debtor-in-possession.

Lavotshkin Law Group will work closely with financial experts in developing debt restructuring plans that relieve companies of overburdening debt that can interfere with regular business operations. While each case is different, your business may be able to avoid liquidation if a carefully crafted debt reorganization plan is presented and accepted by the creditors’ committee. As a firm dedicated exclusively to bankruptcy –we will help you understand what needs to be done in order to salvage what you have worked hard to build.

Chapter 11 bankruptcy provides a mutually beneficial solution for both businesses and their creditors. The creditors benefit, because they receive a greater percentage of the debt than they would if the business were to be liquidated. The business benefits, because it receives a second chance to continue operating, while still paying a portion of its debts.

The Reorganization Plan

Filing for Chapter 11 bankruptcy can only be successful if you receive the consent of your business’s creditors. The creditors’ committee is presented with a debt repayment plan that typically explains how they will benefit. Creditors will only accept the plan if they believe they will receive more funds under the plan than from liquidation. It is very important that you hire an attorney who is capable of structuring a plan and negotiating with creditors.

The Lavotshkin Law Group can handle Chapter 13 repayment plans and help homeowners stop foreclosure.

If you need time to repay debt, we can help.

Chapter 13 bankruptcy is used most often to prevent mortgage foreclosures. If you are a homeowner and want to keep your house, but need to file bankruptcy, you will most likely want to file for Chapter 13. Filing Chapter 13 bankruptcy permits you retain exempt assets while continuing to make payments. It allows you to:

  • Pay past-due mortgage debts over time to prevent foreclosure
  • Keep valued assets such as your house, car, and boat
  • Pay other debts and loans over a 3-5 year period
  • Stop collection efforts
  • Prevent new debt collection actions from starting

Chapter 13 is commonly referred to as “wage earner” bankruptcy because it is intended for people who have a steady source of income, but need some help to bring their finances under control.

In 2005 Bankruptcy law changes went into effect which changed the way Chapter 13 filings are handled. However, do not be put off by what you may have heard in the media about bankruptcy reform. You can still file and stop foreclosure.

To learn more about your rights under federal bankruptcy law, contact the Lavotshkin Law Group

 

To learn more about your rights under federal bankruptcy law, contact the Lavotshkin Law Group

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