One
of the biggest stories of 2013 is the return of Twinkies on American
grocery shelves. This story brought happiness to countless fans who
were trying recover from the ‘emotional turmoil’ Hostess Brands,
Inc. bestowed upon them when the company filed for bankruptcy. Under
the protection of Chapter 11, the company was able to work out deals
that led to its current, more stable situation. The return of the
favored sweet showcased the power of bankruptcy laws.
Like
Hostess Brands, Inc., anyone, from the neighborhood plumber to big
consumer corporations such as Hostess Brands, is entitled to the
protection that bankruptcy laws provide. Qualified bankruptcy lawyers
not only help clients with the legal proceedings involved in
bankruptcy filing, but also with formulating effective restructuring
plans to convince the courts of the filer's ability to rebuild their
finances and to pay off debts that can't be waived.
Chapter
11 bankruptcy is a type of bankruptcy covering businesses, and in
rare cases, individuals with very large debts. Individuals with
smaller debts can choose to file a Chapter 7, Chapter 12, or a
Chapter 13 type of bankruptcy.
Under
a Chapter 7 bankruptcy, individuals may get a write-off for most of
their debts while getting a chance to keep most of their assets. The
Chapter 13 type of bankruptcy is better suited to those earning a
good, regular income, but needing more time to pay off their debts;
while Chapter 12 bankruptcy was designed for fishermen and farmers.
Competent
bankruptcy lawyers can help clients identify the kind of bankruptcy
most appropriate for their situation.
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