Business Bankruptcy Law | Small Business Bankruptcy Laws

our relatives invested 200,000 in a business we bought. however everything is under my name. I am forced to file for personal bankruptcy because all the debts are personally guaranteed the business is bad. my family knows exactly where the money went and how it was spent. they had access to my bank account and the computer etc..
I talked to my bankruptcy lawyer and he said we can put our family members are ‘creditors’ so they can ‘write off’ the 200,000 as a loss.
I am wondering how this will work. how will they benefit from this? will they receive some money from this? how much? if they invested this money in Dec05/Jan 06 can they write it off for this years taxes? the business is still a valid corp. I just don’t want them to be at a complete loss and if I can help them somehow to get their money back or portion at least.
what necessary steps to they have to take? and do we have to file for bankruptcy before they file for their taxe

He owns a very successful business and is not claiming his true income, debts and assets. The lien is actually against the building he operates the business from but is titled to him personally. He also pays all of his personal bills, and an extremely expensive hobby (close to 100,000 annual) through his business but does not list any of this on his chapter 13 paperwork. Will this lien be removed or will it stand through his bankruptcy. Do I have any options? Chapter 13 is for personal only not his business.

My parents have their bankruptcy hearing on 4/22. They were victims of a greedy loan agent, unlicensed I should add, who kept giving them bad advice & in the end, between my dad retiring this year and business getting slow, & my mom’s health problems one after another, they can no longer afford to pay their rising mortgage payment & other debts.
They were advised to file for Chapter 7, but with my mom’s upcoming surgeries for all her health issues, she can’t risk losing the house & have to transition into moving. Now they’re willing to file for Chapter 13 if possible, even though the hearing is in 3 days. Is it too late to bring up to the Judge of their decision? Will the Judge allow it?
Also, my parents weren’t aware that they must disclose ALL their debts, including $$ they owe to family, or it’s considered crime. Is it too late to disclose that? Should we ask for an extension? Please keep in mind their English is the barrier that kept them from understanding this all.

Thanks.
By the way, my parents only consulted with a lawyer for the paperwork. They couldn’t afford to hire one.

And also, the monies they are in debt in with family/friends are not debts that were incurred within the last 90 days, they are much older. However it seems I am being advised that if they plan on paying the people back then that means they don’t have to include it when filing for bankruptcy, or do you still have to?

A. to adjust secured debts

B. to eliminate all existing debt and start the business "fresh"

C. the confirmation of the Plan of Reorganization

D. to enhance the position of equity security holder.

A. to adjust secured debts

B. to eliminate all existing debt and start the business "fresh"

C. the confirmation of the Plan of Reorganization

D. to enhance the position of equity security holder.

I have a girlfriend who is in her 30’s. She is a good person was sucessful with her career, had money, a nice place to live, and had a strong future in front of her. started own company, had money stolen from her in business,IRS audit and bank account sucked by irs last year leaving her with limited money. She then had home office and a employee had stolen a lot of her valuables. lost a long ex fiance who was part of her business problems and lawyers. Due to long work hours lost most of her friends…She has small family and no kids, husband or boyfriend. She has informed me with dignity she has 2 hundred dollars to her name, pets her lease is to expire end of month and was in ex fiance’s name, pre-bankruptcy credit and no bank account. To make things worse her family can’t help her mother is dying and has demdnsia. Sounds tragic she wishes no pity told me will be on the street at end of the month. She is so dn in luck and could not get out…No drugs, ect…Nobody knew.Wt would you
She is not lazy or wallowing in pity. I have noticed over the last year she has been trying to salvage what she has had and I was told she has had a hard time getting a job in our big city especially to keep afloat and pay debts off. She was used to commission jobs which paid good money and now she has sold most of her stuff, ect. She is in her late 30’s. I know she is not lazy or a loser.I am thinking of letting her stay but we are not close anymore probably due to her dealing with this alone but I am also afraid this will be too much for me…Should I lend her money? Rents start at about 1000. Here in los angeles and I don’t think due to credit, no money in the bank and her dogs she can rent at most places. Her dogs are small and her life..

My brother owns and operates a small mechanics shop that caters to race cars and making strret cars ready for racing. He has owned the business for 5 years but is barely making ends meet. He has taken out a second mortage and has obtained about 25k of credit card debt. This is his dream job and loves it and the business is good but he just can’t seem to get ahead and now the debts are pilling up and his luck is running out. Are their government grants, free monies or any advise you can give to help him keep his business, pay off his debts AND feed his family? I have looked at how to stave off the creditors but have come up with little. I know about consolidation but not sure how much this will help in keeping the business! Any advise would be cherished and welcomed. Bankruptcy is not really an option, at least not yet! Thank you for an advise or help!

I need legal advice on how to handle a debt problem. I owe ,000 to 3 USA credit cards each, so a total of ,000. I am broke, but according to all the lawyers that I have consulted (all of them belong to the California American Board of Certification, the national certification board for bankruptcy, or the ones rated on the Best bureau Business,) tell me that I can file for bankruptcy, but the judge will not allow the debts to be discharged (Is a long story and all the lawyers ask me why and once I explained them, they agree that is not advisable).
I have lived a hell suffering because I think is not ethical to avoid paying, but I am broke, my plan was not to do this, they offered me credit cards with balance transfer and I used them as a way to borrow money while I was solving my problems here, but things did not worked the way I planned and suddenly I cannot obtain more balance transfers and the debt is there but I am broke.
So, I am not looking for a lawyer to file bankruptcy, I am looking for a lawyer that answers my questions that I will have through the collecting and suing process.
I am Mexican, I have lived in Mexico the last 7 seven years of my life. I do not have any assets in the US nor in Mexico or anywhere, I do not have any assets at all.

The same lawyers that I have contacted, I have asked them for a legal consultation, but, they do not offer that, some of them have suggested me to look for a lawyer with practice in the debt collect law. So, my first question is where to look for a reliable lawyer. The questions that I have right now for this lawyer are below, just in case you want to give your opinion if have had any experience on this.

What happens if I answer the call and tell them that I will not pay them?

If I tell them that I do not have any asset in the USA?

And I am not living in the USA?

And I am broke?

I am not American (this may cause that the bank send a notice to migration)?

They may find out that I have some relation with that address in California is that a problem for the people that live there?

Are they ever going to go the California address?

They may find out my address in Mexico, is that a problem?

If in the future I want to go to the USA, Will migration sends me to jail or does not allow me to be there?

How long does it take from the initial of collecting until the release of charges from being sued?

What happen if they sue me?

our relatives invested 200,000 in a business we bought. however everything is under my name. I am forced to file for personal bankruptcy because all the debts are personally guaranteed the business is bad. my family knows exactly where the money went and how it was spent. they had access to my bank account and the computer etc..
I talked to my bankruptcy lawyer and he said we can put our family members are ‘creditors’ so they can ‘write off’ the 200,000 as a loss.
I am wondering how this will work. how will they benefit from this? will they receive some money from this? how much? if they invested this money in Dec05/Jan 06 can they write it off for this years taxes? the business is still a valid corp. I just don’t want them to be at a complete loss and if I can help them somehow to get their money back or portion at least.
what necessary steps to they have to take? and do we have to file for bankruptcy before they file for their taxes?
please helpp!

I am in the process of liquidating my failing internet business. I have no job or income once this is done. I will have barely enough to file Chapter 7 bankruptcy next month. My problem is that I thought I’d be able to continue my business, and did some balance transfers 120 days ago in hopes of good Holiday sales. Xmas is a bust this year. I know those debts would be automatically reinstated if it were less than 60 days.

I owe ,000 I cannot pay back. I’m terrified that the credit card companies will come after me because I made the mistake of doing these balance transfers. Also, because I’ve been selling off old stock at a loss for the past two years, my yearly income after business expenses has been very low. I was still using my credit cards for business expenses until the end of September. I’m afraid the credit card companies will complain about that as well. I will be filing in Michigan, where personal bankruptcies are at al all-time high.

Does anyone have any experience with these issues of filing Chapter 7 being self-employed?

I will be seeing a lawyer in a few weeks, but it would help me to sleep at night if anyone could share some experiences or advice with me.

I’ve had perfect credit since I was a teenager. Last year we opened a business and it has failed miserably. We have tried selling it with no luck as the lease is too high. We just lowered the price dramatically but my lawyer says only give it a few weeks at the low price then I’ll have to file personal bankruptcy.
It makes me sad but I have no choice. Only I am filing, not my husband. Most of our debts are in both of our names which will transfer to him. But, the store lease, our back store rent, my credit cards and some of my student loan could go into the bankruptcy. I will be bankrupt for 9 months and then discharged. It will be on my file for 6 years after discharge. I’m in Canada.
I’m scared that it will affect our home as when it comes up for renewal my husband may not qualify on his own. Do you have to requalify at every mortgage renewal or are you safe for the 25 year term as long as you pay every month?
We have 5 children and I just need some peace of mind.

So, I need to file bankruptcy. I’ve thought about my situation for a long time now and I’ve decided that it’s what I want to do. I have a few questions though and figured I’d post on here while I did research.
1) What costs are involved?
2) Do you have to have a lawyer and go to court?
3) Can a business refuse to let you file for your account with them? Can they fight it?
4)I don’t know who all I owe money to anymore. I tried to do my credit check but it wouldn’t work. When I file, will they be able to bring up all of my debts and creditors?
5)How long does the process take?
6) I have one (or more) account that is with a collection agency that just told me that they are going to send it over to legal services in the next few days. What does that mean? Can I file bankruptcy on this? Is there anything you cannot file on?
7)Will this affect my financial aid at school?
8)What experiences have you had or observed post bankruptcy? What happens and in what amount oft ime?

My uncle is thinking about declaring bankruptcy, but the thing is that he doesn’t have very much credit card debt. I don’t even think he has 1 credit card.. He doesn’t have a checking or savings account either. He only owes wood companies for wood purchased because he owns a carpentry business. He also owes his employees a few thousand, as well as a few of his friends. Also, they owe his son’s school a few thousand because he used to go to private school. I know they’re in bad shape, but I don’t think bankruptcy can take away these debts.. Might I be right? Thanks..
Oh, also forgot to mention that he owes several thousand in back taxes.

It will be 7 years since my last bankruptcy. I am not denying my debt and want to repay it but have since lost my home and business due to bad investment. I do want to pay my debts and am not trying to get out of it but due to starting all over I have no other choice.

I was divorced last fall, in Texas, where I still reside. My attorney refused to ask my x for disclosure, so I did not know that my x had ,000 in credit card debt. The divorce papers say she’s liable for debts she incurred from the day I walked out on her, and for all debts that are in her name, which these 3 revolving accounts are. But, she hasn’t paid and yesterday, after getting turned down for credit, I checked my credit online and found out that two of her credit card companies have put charge-offs on my credit, a third one is about to, because she’s 190 days past due on it, and she never paid the phone bill so Embarq has put a charge-off on my credit, too, for 0, which is the least of my worries, but my credit score is barely over 400 now. Everything else on my credit shows "paid on time/as agreed". I’ve never made a late payment on anything my whole life.

I’m considering bankruptcy, but I own two homes (one is a rent house, both are mobile homes). The industry I work in is winding down and I had planned on moving into the landlord business. I’d planned to purchase an RV park, not only as a new career, but as my only retirement income, as well. I’ll be 50 years old in a few months. I don’t have years left over to build more credit.
Suing my x for whatever she owes me will not do any good, because she refuses to work, doesn’t have a job skill and will surely never pay me once I win in court.
My income is excellent, and I may make too much for Chapter 7. Also, one of my homes is in a mobile home park inside a city limits. My main home sits on 2 acres in a subdivision, outside of city limits. I’m concerned that if I file bankruptcy, I won’t be able to keep both houses. I also have two cars. One is a junker that my X trashed and gave back to me while the divorce was still pending. I owe less than ,000 on it. The other car is very nice, only 2 years old, and I owe a lot on it. I’m paying on all this, on time. My only concern is losing my homes and the good car.
Personally, I have no other bills besides the two house payments and the two car payments & their insurance. I have no revolving accounts.
Given my plans for retirement and my unsteady job security right now, which do you think I should do, file or consolidate just her bad bills and pay them off over time?

In addition to this law question, I have some ethics questions:
How much SHOULD you have to be in debt to be legally allowed to declare bankruptcy? 0? 10k? 20k? 50k? 100k?

& why should debt for a home mortgage, business, or other be cleared during a bankruptcy, but not a studetn loan debt? shouldn’t all debts be treated the same? a debt is a debt is a debt, right?

I have A LOT of credit card debt from opening a business and having to sell it in one year because of family responsibilities. Saw a bankruptcy attorney, but the options don’t seem to work for me as there’s no way I could ever pay off these debts.
I know it’s very immoral, but what will actually happen if I just stop paying on them? I know I’ll be inendated with phone calls and lose my good credit standing, but can they attach my bank account or any other asset?