California Bankruptcy Lawyer Blog

A California bankruptcy attorney writes about Chapter 11 and Business Bankruptcy.

A fact that surprises many people is that almost 9 out of 10 new businesses end up failing. What happens to a business when it runs out of money? Chapter 11 is the chapter of the United States bankruptcy code that explains what happens in this situation. Chapter 11 and business bankruptcy refer to when a corporation is unable to pay money that it is owed, and therefore is restructured. According to chapter 11 and business bankruptcy regulations, the owner or owners of the business are able to remain in control, but the court oversees a restructuring of the business so that it can pay off its creditors in the future.

A famous example of chapter 11 and business bankruptcy would be a well-known figure in most business circles, Donald Trump. His Taj Mahal Casino in Atlantic City, New Jersey was famously forced to file for chapter 11 bankruptcy after mounting debts and instability. Trump was ultimately forced to restructure the business and ultimately give 50% ownership of the casino to his creditors in order to pay off his debts.

If you have a question regarding Bankruptcy in California please contact us at 1800.941.6730 and we can connect you with one of our experienced California Bankruptcy Attorneys . Sagaria Law can assist you with all aspects of your bankruptcy case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, lien stripping , a cram down, stopping a foreclosure or wage garnishment, asset protection, discharging debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist in all of these important areas. Please complete our free bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy.

A California bankruptcy attorney answers questions on Chapter 7 bankruptcy.

What is Chapter 7 bankruptcy?
The main purpose of this bankruptcy is to get rid of a person's debt so they can start their life fresh. The debtor's belongings are liquidated, turned into cash, and then the money that is received is then given to creditors to repay your debt.

How do I qualify for bankruptcy?
You must make below the median income for your state, or if you make more than that, there are certain steps you can take to qualify, e.g., if your disposal income (DI) is less than $6,000 for 60 months, you do qualify for Chapter 7. If your DI between $6k and $10k, you will have to pay for at least 25% of your unsecured debt. And if you make more than $10k, you do not qualify for bankruptcy.

What are the steps I need to take to file?
First, when thinking about using Chapter 7, consult a bankruptcy lawyer. If s/he thinks you will be approved, they will give you the options you need to file.

What does my future look like?
While you are taking the correct steps to fix yourself, your future is still bright. You will build your credit back up and start anew.

If you would like more information on this topic or other bankruptcy topics, please contact one of our California offices at 1800.941.6730. We at Sagaria Law can connect you with one our our experienced California bankruptcy attorneys. We have bankruptcy attorneys located throughout California and Oregon to assist you with your bankruptcy questions. If you need assistance regarding a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, a cram down, stopping a foreclosure or wage garnishment, asset protection, discharging debt, etc. we can help! Please contact us to receive a free consultation or visit our website at www.sagarialaw.com to request an in-person consultation with an experienced bankruptcy attorney. We have an exceptional team of bankruptcy lawyers, bankruptcy client care specialists and bankruptcy staff supporting California.

A California bankruptcy attorney advises on contacting a Chapter 13 attorney.

Chapter 13 bankruptcy filings, like Chapter 11 filings, involve a reorganization of an individual’s debt. Under this chapter, a person cannot get debt protection. They merely give debtors time to pay off their debts. The repayment period can take between three to five years.

When Might I Have to File for Chapter 13?
A person must go through the means test. If he goes below the average median income he is eligible for this and Chapter 7. Chapter 7 is more common because it does allow people to discharge debts. A chapter 11 attorney can hep a person figure which type is right for him.

Homeowners who want to keep their property will file under Chapter 11 or Chapter 13. Bankruptcy proceedings prevent banks from foreclosing on homes, let owners keep their property, and most importantly, buys the homeowner time. Sometimes a person just needs more time to get back on his feet.

Please do not hesitate to contact us at one of our California offices by calling 1800.941.6730 for your debt resolution needs. You can receive a free consultation over the phone, or request a free in person appointment at a Sagaria Law office nearest you. Please visit our website at www.sagarialaw.com and fill out a free online evaluation form to determine if you are a qualified candidate for bankruptcy. Sagaria Law's team of bankruptcy lawyers, bankruptcy client care specialists and bankruptcy staff can assist you with all aspects of your bankruptcy case. We at Sagaria Law can assist you regarding filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. and we are happy to help! Our bankruptcy attorneys located throughout California and Oregon can assist you with your bankruptcy questions.

A California bankruptcy attorney comments on businesses and bankruptcy lawyers.

When a business is going to go into bankruptcy they are going to hire a team of lawyers. They need people who work in the legal profession to help them work through the complex legal aspects of declaring a business bankruptcy.

The job of a business bankruptcy lawyer is to work with any business that has declared bankruptcy. They have to make sure that all of the legal paperwork goes through correctly. A business has no option but to follow through this process. A business bankruptcy lawyer is going to make sure that all of the creditors who need to be paid are paid and in what order.

Although we often don't think about it, going through bankruptcy is a legal process. Most businesses declare a form of bankruptcy were they get protection from their creditors for the time being. However, they are working on a reorganization plan to be able to pay off their creditors at a later time. They just need a little time to be able to have some breathing room so that they can begin to pull in profits again for a while. If they are able to do this then there is a better chance that they can start to actually finally pay off their creditors.

We can answer all your questions regarding filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. If you need help regarding a bankruptcy in California, call us at 1800.941.6730 and we will be more than happy to offer you a free consultation over the phone. You can also fill out a free online evaluation at our website, www.sagarialaw.com, or request a free face to face appointment at a Sagaria Law office location close to you. We have bankruptcy attorneys located throughout California and Oregon to assist you with all your debt resolution needs.

A California bankruptcy attorney answers a visitor's submitted comment: Is the United States Trustee an attorney?

The United States Trustee is the one who is in charge of all matters and cases dealing with bankruptcy. Because of the responsibilities given to the United States Trustee, it is easily confused with an attorney. The truth is the United States trustee works under the supervision of the attorney.

They are in charge of making sure all the laws dealing with bankruptcy are being handled in the manner that they should be. Should they find that laws were violated, the U.S trustee does not have the power to prosecute someone. This is why the U.S. trustee is not an attorney, they do not hold the power to prosecute. Instead they turn the case over to the attorney general, who will be in charge of prosecution.

The main duty of the trustee program is to administer each bankruptcy case, to ensure all laws dealing with bankruptcy are followed. There are many trustees appointed for each region. Usually the person in charge of appointing and removing trustees from their position is the attorney general. So no, the U.S. trustee is not an attorney, it is just a branch of the justice system, that works under the supervision of the attorney general.

We can answer all your questions regarding filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. If you need help regarding a bankruptcy in California, call us at 1800.941.6730 and we will be more than happy to offer you a free consultation over the phone. You can also fill out a free online evaluation at our website, www.sagarialaw.com, or request a free face to face appointment at a Sagaria Law office location close to you. We have bankruptcy attorneys located throughout California and Oregon to assist you with all your debt resolution needs.

A California bankruptcy attorney explains where you can file for Chapter 13 bankruptcy.

Once you have determined Chapter 13 bankruptcy is the proper option for you, you will need to file a petition. This petition is filed with the bankruptcy court in your home district. Many residents in California are facing a financial crisis. They want to keep their homes, but their overall financial situation is stressed. For them to keep their home, they must file Chapter 13. To do this, you need a schedule of assets and liabilities, current income and expenditures.

In California, there are three districts where you can file Chapter 13 bankruptcy: Northern, Central and Southern. once you find out which location is your district, file the required documents and fees. This will stop all collections and foreclosure proceedings if any have been started. Once your documents are received the court will assign a trustee to your case. It generally takes about 3 months to get your court date, you will meet with the trustee at that time.

Once approved, the judge will impose a monthly payment for those debts you included in your chapter 13 filing. You will be given time to bring your mortgage up to date, the new monthly payment for your other debts will be due to the court. This reorganization lasts a maximum of 5 years. The outstanding debt will be discharged at the end of this program and you get a fresh start.

At Sagaria Law, we offer an exceptional team of bankruptcy lawyers, bankruptcy client care specialists and bankruptcy staff supporting California. If you need help regarding bankruptcy in California, contact us at 1800.941.6730 for a free consultation or visit us online at www.sagarialaw.com to request a free in person appointment at a Sagaria Law office location nearest you. We can answer your questions regarding filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. We have bankruptcy attorneys located throughout California and Oregon to assist you with all your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation to quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, California!

A California bankruptcy attorney addresses frequently asked questions on creditor harassment.

When a consumer purchases something and agrees to pay for the item within a specific time, it must be paid as agreed. Problems and debt can occur when the said item is not paid on time or at all. Some debt that is not paid is sent off to collectors. These collectors will call, mail, and even e-mail you for payment. While they can send you reminders about a debt, it's always wise to note that they do not have the right to harass you for any payments. Creditor harassment is very real and illegal.

Here are some helpful tips to keep you aware of creditor harassment, know your rights and how to deal with them:
1. If the creditor is threatening with physical harm towards you or towards your personal property, police assistance can be taken to promptly stop the threats.
2. Offering a settlement can sometimes appease creditors. Some creditors will settle as long as the amount is reasonable. Look at your funds and income to see what you can offer as a settlement. Speak with your attorney, if applicable, to see how much of a settlement is necessary to proceed with.
3. Take the creditor to small claims court. Creditor harassment can sometimes go far overboard; especially if the creditor is attempting to collect more than what was initially agreed for. If you have paid your dues and all agreements have been fulfilled, you can sue the creditor to protect your rights.

If you have a question regarding Bankruptcy in California please contact us at 1800.941.6730 and we can connect you with one of our experienced California Bankruptcy Attorneys . Sagaria Law can assist you with all aspects of your bankruptcy case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, lien stripping , a cram down, stopping a foreclosure or wage garnishment, asset protection, discharging debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist in all of these important areas. Please complete our free bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy .

A California bankruptcy attorney describes Chapter 7 and businesses.

A business can go out of business without filing Chapter 7 bankruptcy. When a company closes its doors and goes out of business, the assets are liquidated. However, in this case, stockholders or lien holders may try to personally sue officers of the company. To prevent this, the company can file Chapter 7 and business assets are liquidated, yet protects the individuals.

Chapter 7 is the most commonly filed type of bankruptcy. Individuals and companies can file Chapter 7. Once the bankruptcy proceedings have started, any wages earned by the filer cannot be claimed by any creditor. A trustee is assigned to sell all assets and pay the creditors for secured debt. These will be paid first. Any unsecured debts are discharged.

A "means test" must be passed to file Chapter 7 and business financial statements must be submitted. If the expenses do not exceed the income far enough, Chapter 13 must be filed.

If you would like more information on this topic or other bankruptcy topics, please contact one of our California offices at 1800.941.6730. We at Sagaria Law can connect you with one our our experienced California bankruptcy attorneys. We have bankruptcy attorneys located throughout California and Oregon to assist you with your bankruptcy questions. If you need assistance regarding a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, a cram down, stopping a foreclosure or wage garnishment, asset protection, discharging debt, etc. we can help! Please contact us to receive a free consultation or visit our website at www.sagarialaw.com to request an in-person consultation with an experienced bankruptcy attorney. We have an exceptional team of bankruptcy lawyers, bankruptcy client care specialists and bankruptcy staff supporting California.

A California bankruptcy attorney blogs on creditor debt negotiations.

The only time that a person should consult or have an attorney represent them in a creditor debt negotiation is when they feel like they have no voice in any kind of agreements with the credit company. If a credit company thinks that you are trying to make some type of attempt to pay the debt, then they will be willing to work with you. If they feel that there is not any kind of attempt to resolve the debt, any kind of negotiations will be thrown off the table.

When if comes to creditor debt negotiations, the person who owes the debt has to realize that they too have certain rights. If a person feels that they are not getting anywhere in the creditor debt negotiations, then it is a good thing to consult with the attorney. The attorney will know how to deal with the creditors and in the long run may be able to get you a better deal than before.

Please do not hesitate to contact us at one of our California offices by calling 1800.941.6730 for your debt resolution needs. You can receive a free consultation over the phone, or request a free in person appointment at a Sagaria Law office nearest you. Please visit our website at www.sagarialaw.com and fill out a free online evaluation form to determine if you are a qualified candidate for bankruptcy. Sagaria Law's team of bankruptcy lawyers, bankruptcy client care specialists and bankruptcy staff can assist you with all aspects of your bankruptcy case. We at Sagaria Law can assist you regarding filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. and we are happy to help! Our bankruptcy attorneys located throughout California and Oregon can assist you with your bankruptcy questions.