Bankruptcy Matters

The Bankruptcy Laws can help you in many ways:

1. How Bankruptcy Laws Operate.

The bankruptcy laws are administered by the U. S. Bankruptcy Court. This law is supreme over all other laws. This means that anorder by the Bankruptcy Court takes precedence over any state court order. This can be important if someone is trying to seize you assets with a state court order, suhc as a judgment or writ of execution.

2. How To Obtain Bankruptcy Assistance.

You invoke the protection of the bankruptcy system by filing a petition with the bankruptcy court. In Los
Angeles this court is locatec at 225 E. Temple St. Los Angeles, CA 90012. There are three basic types of filings. These are Chapter 7, Chapter 11 and Chapter 13.

3. Chapter 7 Filings.

A Chapter 7 is a complete liquidation of your debts and assets. Certain assets are exempt such as your house. Unsecured debts such as credit cards can be wiped out.

4. Chapter 11 Filings.

A Chapter 11 is a reorganization of your business affairs. Here creditors are prevented from putting you out of business with lawsuits or attachments. With court assistance you can reorganize your business and obtain time to deal with your problems. These type filings are used to assist going businesses.

5. Chapter 13 Filings.

A Chapter 13 if a reorganization of your personal debts. A trustee is appointed to administer your debts and pay a portion of your income to unsecured creditors. This can be useful to work out a payment plan without creditors being able to bother you with lawsuits and attachments.