Leventhal Law Group, P.C.
Warner Center Towers
21550 Oxnard Street, 3rd Floor
Woodland Hills, CA 91367
Leventhal Law Group, P.C., in Woodland Hills, California, serves clients in the San Fernando Valley area. Communities include Northridge, Van Nuys, North Hollywood, Encino, Santa Clarita, Valencia, Palmdale, Lancaster, Mission Hills, Thousand Oaks, Simi Valley, Calabasas, Canoga Park, Chatsworth, Porter Ranch, Reseda, Tarzana, Malibu and counties that include Los Angeles County and Ventura County.
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Chapter 11 Bankruptcy Lawyer Woodland Hills, CA
Business Bankruptcy, Also Applicable for Individuals with Large Debt
Chapter 11 bankruptcy of the United States Bankruptcy Code is frequently referred to as a "business reorganization bankruptcy". Chapter 11 is used by businesses of all sizes and can also be used by individuals whose large amount of debt exceeds the debt limits for Chapter 13 bankruptcy. Under Chapter 11, your debts are reorganized, but your creditors and the court must approve a plan to repay your debts. There is no trustee unless the judge decides that one is necessary; if a trustee is appointed, the trustee takes control of your property and/or business.
The theory of Chapter 11 business bankruptcy is that the value of a business that is reorganized is considerably more valuable than its assets if sold separately. For that reason, Chapter 11 allows a troubled business to continue operating, cancels some of its debts, and transfers some or all of the newly reorganized company to the creditors whose debts were canceled.
Chapter 11 for Businesses
The theory of Chapter 11 business bankruptcy is that the value of a business that is reorganized is considerably more valuable than its assets if sold separately. For that reason, Chapter 11 allows a troubled business to continue operating, cancels some of its debts, and transfers some or all of the newly reorganized company to the creditors whose debts were canceled.
Chapter 11 for Individuals - "Super Chapter 13"
For individuals who need debt restructuring, but whose debt is above the limits for
filing a Chapter 13 bankruptcy, Chapter 11 bankruptcy may be the only option. In
many parts of the county, individuals filing a Chapter 11 are rare -
At the Leventhal Law Group, P.C., in Woodland Hills, California, I help individuals
and businesses file bankruptcy -
Reorganization Plan Process
During a Chapter 11 bankruptcy, I will submit a reorganization plan to the Bankruptcy Court on your behalf. The plan will propose how you will pay off your debts and what portions of the debt will be paid. Once your debt plan has been submitted to the Bankruptcy Court for consideration, the creditors whose rights have been affected will have an opportunity to vote on the approval or denial of the reorganization plan. After the interested creditors vote, the Bankruptcy Court Judge will consider the plan for approval.
Benefits of a Chapter 11 Bankruptcy for Businesses
The benefits of a Chapter 11 bankruptcy is that the company is reorganized, rather than liquidated, jobs may be saved, assets are retained, and the remaining creditors and equity participants may have smaller losses than if the company is dismantled. Restructuring the debtor's business is accomplished through the creation of a Chapter 11 Plan that provides for the treatment of all claims against the debtor and the terms that will govern reorganization of the debtor's financial structure and operations. The debtor's Chapter 11 plan will be the result of a consensual arrangement between the debtor and its creditors and equity security holders.
Contact the Leventhal Law Group, P.C.
At the Woodland Hills, California, Leventhal Law Group, P.C., I help individuals
and small-
We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.