Chapter 11 Bankruptcy Issues

An incorporated business typically files chapter 11 bankruptcy to restructure the business by proposing a formal chapter 11 plan of reorganization. However, individuals can also file a chapter 11 case in applicable circumstances, particularly in cases where debt limits rise beyond the eligibility limits for a chapter 13 filing.

Individual Chapter 11 Cases and The Absolute Priority Rule

Individual Chapter 11 Cases are unique – these are cases where employed individuals or wage earning spouses file chapter 11 where they do not otherwise qualify for ch7, ch13, or where those chapters of bankruptcy are not in their best interest.  In such cases, the only alternative may be a chapter 11 individual case filing.   These individual chapter 11 cases are more than just...

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Explaining a Bankruptcy Fraudulent Transfer by California Bankruptcy Attorney Jeffrey Hsu of JCH Law Firm

What’s a bankruptcy fraudulent transfer?  Well, it happens when a debtor conceals or transfers away property to avoid claims of executing creditors for purposes of bankruptcy.  In bankruptcy, there are 2 types of fraudulent transfer laws: state based under Section 544 and federally based under 548 of the Bankruptcy Code.  The state law version has a longer statute of limitations...

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California Homeowners Contemplating Bankruptcy : Know your Foreclosure Rights When Dealing With Your Home Owners Association

Believe it or not, millions of Californians live in Home Owners Associations otherwise known as HOA’s. California Homeowners who are facing problems with their HOA must recognize and understand what the HOA may and may not do. For example, while an HOA has the power to foreclose to force assessment payments under California Civil Code Section 1367.1, the assessments must be at a...

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Southern California Bankruptcy Fees Increased on November 1, 2011

Effective November 1, 2011, all bankruptcy court fees were increased. Of particular note, it now costs $7.00 more to file a chapter 7 ($306 from $299); chapter 13 case ($281 from $274); and chapter 11 case ($1046 from $1039) in California. These are not the only bankruptcy associated costs that were increased by the court, but the filing fees signify the most prominent fees that were increased by...

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JCH Law Firm Can Help With Business Bankruptcy Cases

At JCH Law Firm, we have experience handling business bankruptcy cases.  Attorney Jeffrey Hsu has successfully filed bankruptcy and advised numerous businesses regarding their options in and out of bankruptcy.  Sample business bankruptcy filings for attorney Jeffrey Hsu include filing bankruptcy for owner/operators of an RV Park, solar panel corporation, commercial feed lot, trucking...

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Understanding the Need for Substantive Consolidation In Chapter 11 Bankruptcy Cases

In chapter 11 business cases, substantive consolidation of one or more inter-related chapter 11 case filings ensures that similarly situated creditors are treated equitably through an appropriate division of the debtor’s assets by pooling the assets and liabilities of two or more related entities while eliminating inter-company claims.  Substantive consolidation is appropriate to: (1) enable...

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