commercial bankruptcy lawyer what do they do

Commercial Law and Bankruptcy Commercial lawyers do the deals that are not organic—in other words, they handle matters involving relationships among entities that have already been created. Companies make contracts as part of their business, and commercial lawyers deal with these. A lot of them involve financing, including bank financing.

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What does a bankruptcy lawyer do?

A bankruptcy lawyer is a legal professional that take their clients through the process of declaring bankruptcy. Bankruptcy law is complex, determining first off if bankruptcy is the best course of action and then determining which Chapter to file under can be difficult for a layperson.

What is business bankruptcy and how does it work?

It is designed to help your business eliminate or repay its debt under the guidance and protection of the bankruptcy court. Business bankruptcies are usually described as either liquidations or reorganizations depending on the type of bankruptcy you take.

Do I need a lawyer to file bankruptcy?

But since a bankruptcy filing involves legal matters, it can be challenging to navigate the bankruptcy process alone. You can file the case without legal help, known as going pro se, but experts typically recommend relying on a bankruptcy lawyer to handle your case.

Who is responsible for the assets of a business in bankruptcy?

The owner is responsible for all assets and liabilities of the firm. A sole proprietorship can take bankruptcy by filing for Chapter 7, Chapter 11, or Chapter 13. Corporations and partnerships are legal entities separate from their owners. As such, they can file for bankruptcy protection under Chapter 7 or Chapter 11.

What are the differences between Chapter 7 and Chapter 13 bankruptcy?

With Chapter 7, those types of debts are wiped out with your filing's court approval, which can take a few months. Under Chapter 13, you need to continue making payments on those balances throughout your court-instructed repayment plan; afterwards, the unsecured debts may be discharged.

What is the main purpose for a Chapter 7 bankruptcy?

A Chapter 7 bankruptcy will generally discharge your unsecured debts, such as credit card debt, medical bills and unsecured personal loans. The court will discharge these debts at the end of the process, generally about four to six months after you start.

What is an attorney UK?

Anyone who likes police or legal fiction will probably have noticed that the U.K. uses the term solicitor where the U.S. uses the term attorney.

What debts are not discharged in bankruptcy?

The following debts are not discharged if a creditor objects during the case. Creditors must prove the debt fits one of these categories: Debts from fraud. Certain debts for luxury goods or services bought 90 days before filing.

Do you get out of all debts if you declare bankruptcy?

Bankruptcy Can Wipe Out Credit Card Debt and Most Other Nonpriority Unsecured Debts. Bankruptcy is very good at erasing most nonpriority unsecured debts other than school loans. For instance, you can discharge unsecured credit card debt, medical bills, overdue utility payments, personal loans, gym contracts, and more.

What three decisions Cannot be made by a legal power of attorney?

Are there any decisions I could not give an attorney power to decide? You cannot give an attorney the power to: act in a way or make a decision that you cannot normally do yourself – for example, anything outside the law. consent to a deprivation of liberty being imposed on you, without a court order.

What are the 3 power of attorney?

Generally speaking, there are three main types of POA: Ordinary power of attorney. Lasting power of attorney. Enduring power of attorney.

What's the difference between attorney and lawyer?

Attorney vs Lawyer: Comparing Definitions Lawyers are people who have gone to law school and often may have taken and passed the bar exam. Attorney has French origins, and stems from a word meaning to act on the behalf of others. The term attorney is an abbreviated form of the formal title 'attorney at law'.

Can I get free help with my bankruptcy case?

Yes, nonprofit legal services offer help to low-income people who either need an attorney to represent them in a bankruptcy case or are handling a...

How long does a bankruptcy stay on your credit report?

A Chapter 7 bankruptcy can stay on your credit report for up to 10 years, while a Chapter 13 bankruptcy may remain on your credit report for up to...

What types of debt can’t be included in a bankruptcy case?

Among the types of debt that can’t be discharged—meaning you’re no longer legally required to pay them—are most student loans, most taxes, child su...

What does a lawyer do?

Maybe most importantly, your lawyer acts as your communication between you and the courts. They’ll be on the phone and in email interactions with trustees, creditors, as well as keeping you up to date on what’s happening with your case.

Do you have to go to the first hearing in bankruptcy?

There are several meetings and hearings that take place during the bankruptcy process. You’re required to go the first hearing with your creditors, but only your lawyer will need to attend most (if not all) of the meetings after that.

Do bankruptcy lawyers know the rules?

Bankruptcy lawyers know all of the rules and expectations that go along with the bankruptcy process, so you know you’re in good hands.

What do bankruptcy attorneys do?

Almost all bankruptcy attorneys have specialized software that prepares and files your required bankruptcy paperwork with the court. You'll provide your attorney with all of your financial information, such as income, expense, asset, and debt information.

What is the responsibility of a bankruptcy attorney?

For these reasons, one of the responsibilities of your bankruptcy attorney is to know the local rules and filing procedures.

How to file for bankruptcy?

First, you can expect your attorney to tell you whether filing for bankruptcy would be in your best interest. If it is, you should also learn: 1 whether Chapter 7, Chapter 13, or another type will help you achieve your financial goals 2 what you can expect during the bankruptcy process, and 3 whether your case involves any particular difficulties or risks.

What to expect during bankruptcy?

Most importantly, if you have any questions, you can expect your attorney to respond to your calls or emails promptly.

What information do you provide to your attorney?

You'll provide your attorney with all of your financial information, such as income, expense, asset, and debt information . Your lawyer will use it to prepare the official forms and then go over the completed paperwork with you to ensure accuracy.

What type of hearings can an attorney represent you at?

Some common types of hearings you can expect your attorney to represent you at: Chapter 13 confirmation hearings. Chapter 7 reaffirmation hearings, and. any other motion or objection hearings filed by you, your creditors, or the trustee.

What is the mandatory hearing for bankruptcy?

After filing for bankruptcy, all debtors must attend a mandatory hearing called the 341 meeting of creditors. But, depending on your case, you (or your attorney) might need to go to additional hearings. Some common types of hearings you can expect your attorney to represent you at: Chapter 13 confirmation hearings.

What is Chapter 11 bankruptcy?

Chapter 11 Bankruptcy can typically allow your company to continue functioning while following an agreed-upon plan for repaying its debts. Whereas certain types of bankruptcy force businesses to sell their assets to satisfy their creditors, thus preventing them from generating new profits and possibly becoming viable again, Chapter 11 allows your company to carry on its day-to-day operations, with you serving as manager, under court supervision.

Can you get your own plan confirmed in bankruptcy?

However, under certain circumstances, you may be able to get your own plan confirmed despite their opposition, as long as you can meet certain statutory requirements.

Is Chapter 11 bankruptcy more flexible than Chapter 11 bankruptcy?

While Chapter 11 Bankruptcy is more flexible than other bankruptcy types, that flexibility usually comes with a higher price tag. The success rate of company reorganizations under this chapter is also typically quite low. For these reasons, you'll want legal advice from a bankruptcy attorney on which bankruptcy chapter would be most suitable to your company's specific circumstances and whether Chapter 11 would actually work best for your business.

What is a business bankruptcy?

Bankruptcy is a process a business goes through in federal court. It is designed to help your business eliminate or repay its debt under the guidance and protection of the bankruptcy court. Business bankruptcies are usually described as either liquidations or reorganizations depending on the type of bankruptcy you take.

What type of bankruptcy is a sole proprietorship?

The owner is responsible for all assets and liabilities of the firm. It is most common for a sole proprietorship to take bankruptcy by filing for Chapter 13, which is a reorganization bankruptcy. 2 .

How long does it take to reorganize a Chapter 11 bankruptcy?

Chapter 11 bankruptcies are exceedingly complex and not all succeed. It usually takes over a year to confirm a plan.

What happens if a business is approved for Chapter 7 bankruptcy?

If their income is over a certain level, their application is not approved. If a Chapter 7 bankruptcy is approved, the business is dissolved.

When is Chapter 7 bankruptcy best?

It is usually referred to as a liquidation. Chapter 7 is typically used when the debts of the business are so overwhelming that restructuring them is not feasible. Chapter 7 bankruptcy can be used for sole proprietorships, partnerships, or corporations.

Is Chapter 11 bankruptcy better than Chapter 13?

Chapter 11 may be a better choice for businesses that may have a realistic chance to turn things around. Chapter 11 business bankruptcy is usually used for partnerships and corporations. 5  It is also used by sole proprietorships whose income levels are too high to qualify for Chapter 13 bankruptcy.

Can a sole proprietorship file for bankruptcy?

It is most common for a sole proprietorship to take bankruptcy by filing for Chapter 13, which is a reorganization bankruptcy. 2 . Corporations and partnerships are legal business entities separate from their owners.

What can bankruptcy do?

What Bankruptcy Can Do. Bankruptcy allows people struggling with debt to wipe out certain obligations and get a fresh start. The two primary bankruptcy types filed— Chapter 7 and Chapter 13 bankruptcy— each offer different benefits and, in some cases, treat debt and property differently, too.

What are the benefits of filing bankruptcy?

The two primary bankruptcy types filed— Chapter 7 and Chapter 13 bankruptcy— each offer different benefits and, in some cases, treat debt and property differently, too. You'll choose the chapter that's right for you depending on your income, property, and goals.

How does Chapter 13 bankruptcy work?

Filing for Chapter 13 bankruptcy will stop a foreclosure and force the lender to accept a plan that will allow you to make up the missed payments over time. To make this plan work, you must demonstrate that you have enough income to pay back payments and remain current on future payments.

How long does it take to get a bankruptcy wiped out?

This chapter takes an average of three to four months to complete. Learn more about erasing your debt in Chapter 7 bankruptcy.

How long does it take to pay back debt in Chapter 13?

If you file for Chapter 13 rather than Chapter 7, you'll likely have to pay back some portion of your unsecured debts through a three- to five-year repayment plan. However, any unsecured debt balance that remains after completing your repayment plan will be discharged. Find out how to pay off or discharge your debts in Chapter 13 bankruptcy.

Can you evict a landlord after bankruptcy?

Keep in mind that if your landlord already has an eviction judgment against you, bankruptcy won't help in the majority of states . Learn more about evictions and the automatic stay.

Can debt be wiped out in bankruptcy?

Bankruptcy is a powerful tool for debtors, but some kinds of debts can't be wiped out in bankruptcy.

What to do if you receive a bankruptcy notice?

If you receive a bankruptcy notice, your best bet is to act immediately, and call an attorney. You want to protect your investment and rights.

What happens if a tenant files for bankruptcy?

If your tenant files for a Chapter 7 bankruptcy, this means you most likely will loose out on back rent and the tenant will no longer stay in the unit.

Do landlords know if they are filing for bankruptcy?

As a commercial landlord, do you usually know if your tenant will be filing for bankruptcy? Yes, there will be some sure signs, including late rent payments, especially if it goes on for months. However, it still can be shocking and upsetting to receive a notice from Bankruptcy Court regarding the tenant.

Can you collect rent if you are in bankruptcy?

As a landlord, you can try and ask the Bankruptcy Court to ignore the “automatic stay,” so you can collect rent; this may work to your benefit if you were already mid-eviction. Many times, courts will force the tenant out if they are not pay rent or planning on paying rent in the future. As a creditor with a tenant in your property, you have the strongest case as a creditor to get paid through this bankruptcy. The decision and laws on this vary depending on state.