Chapter 11 Bankruptcy in Irving
Speak With an Irving Bankruptcy Attorney Now!
Many people have likely heard the term “Chapter 11” when it comes to
bankruptcy before. In fact, this type of bankruptcy receives a lot of press coverage
because several major corporations have used it in the past. K-Mart, General
Motors, United Airlines, and Lehman Brothers are just a few who have utilized
this procedure to reorganize their debts and stay afloat. However, the
vast majority of Chapter 11 bankruptcies don’t receive any press
coverage at all because they come from small, local businesses who utilize
it as a last option to try to keep their doors open. If your business
is struggling and you’re considering reorganizing in order to stay
afloat, you need an Irving bankruptcy attorney from
J. Roland Jeter, P.C. on your side!
Attorney Jeter recognizes that business clients who come to him are often
at the end of their available options, and he makes it his personal mission
to help them successfully navigate this process in order to get back to
normal and profitable operation. Attorney Jeter understands how important
it is to have quality representation and advocacy on your side when going
through this process, and you can trust that his nearly 40 years of experience
will help you reach the outcome you’re seeking. Here at J. Roland
Jeter, P.C., we recognize how stressful financial debt can be, and we
recognize how important it to business owners that their most valuable
investment is protected and cared for with the same level of dedication
and attention you would give it yourself.
Considering declaring Chapter 11 bankruptcy? Speak with J. Roland Jeter,
P.C. today by dialing 972-990-4050 and receive a
free 30-minute consultation!
How Chapter 11 Works
Unlike Chapters 7 and 13, Chapter 11 is primarily used by businesses (though
individuals may also choose to utilize it in rare circumstances).In Chapter
11 procedures, no trustee is appointed, but instead the business is allowed
to continue with operations as a “debtor in possession.” A
trustee is only appointed to take over operations from the “DIP”
if it finds sufficient cause to do so.
A bankruptcy court does take over many of the major decisions during a
Chapter 11 bankruptcy, including:
- Sale of assets beyond normal business operations (i.e. inventory sold in
normal course of business)
- Entering or breaking a lease of property
- Shutting down or expanding business operations
- Entering into or modifying any agreements, including vendor, licensing,
or union contracts
- Retention of or payment of professionals such as accountants or attorneys
While business operations continue, the debtor has a four-month window
in which to propose a reorganization plan. This plan is essentially an
agreement between the debtor and creditors about how they will be paid
back in the future. Usually this is accomplished by downsizing to free
up assets, but other times other methods are used.
Because dealing with creditors can be such a hassle, it’s strongly
encouraged that you seek assistance from an attorney. Don’t hesitate to
contact J. Roland Jeter, P.C. online now to start reviewing your options!