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Frequently Asked Questions

Why to file an individual Chapter 11 bankruptcy?

Why File an Individual Chapter 11 Traditionally, people filing Chapter 11 bankruptcy do so because they have exceeded the debt limits for a Chapter 13 bankruptcy. For instance, many celebrities and professional athletes are required to file a Chapter 11 rather than a Chapter 13 because they have far too much secured and unsecured debt.

What is the purpose of Chapter 11 bankruptcy?

The overall purpose of the chapter 11 bankruptcy is to prohibit creditors from collecting on pre-bankruptcy debts, while allowing a company the chance to reorganize its existing finances and operations through the use of federal bankruptcy law.

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