Such debtors must file: a certificate of credit counseling and a copy of any debt repayment plan developed through credit counseling evidence of payment from employers, if any, received 60 days before filing a statement of monthly net income and any anticipated increase in income or expenses after filing and a record of any interest the debtor has in federal or state qualified education or tuition accounts. If the debtor is an individual (or husband and wife), there are additional document filing requirements. Unless the court orders otherwise, the debtor also must file with the court: (1) schedules of assets and liabilities (2) a schedule of current income and expenditures (3) a schedule of executory contracts and unexpired leases and (4) a statement of financial affairs. A petition may be a voluntary petition, which is filed by the debtor, or it may be an involuntary petition, which is filed by creditors that meet certain requirements. How Chapter 11 WorksĪ case filed under chapter 11 of the United States Bankruptcy Code is frequently referred to as a “reorganization” bankruptcy.Ī chapter 11 case begins with the filing of a petition with the Arizona bankruptcy court serving the area where the debtor has a domicile or residence. Contact one of our experienced Chapter 11 Bankruptcy attorneys today and get started. Over the years we’ve helped hundreds of clients find comprehensive financial relief through bankruptcy. At Davis Miles our goal is to help you identify which type of bankruptcy is best suited to your needs and to then help you navigate the process, step by step. If you are facing insurmountable debt it is important to know what options you really have, including bankruptcy.
Chapter 11 Bankruptcy also shares similarities with Chapter 13 in that a repayment plan is created that allows the debtor to pay back debt over a longer period of time. Similar to Chapter 7 Bankruptcy, certain assets may need to be forfeited in order to repay debts to creditors. Struggling to pay employees and keep a business open with creditors constantly calling can be unbelievably stressful. There are special considerations that need to be made when determining whether or not a person is eligible for Chapter 11 bankruptcy.
Chapter 11 Bankruptcy provides debt relief for both individuals and businesses that are unable to meet their financial obligation.