Involuntary Bankruptcy Springfield Gardens NY

There are mainly two reasons why people in Springfield Gardens opt to go to court to file a financial bankruptcy petition. Some find themselves doing this out of the poor spending habits that they have been developed over the years. While for others, bad luck just catches up with them.

Local Companies

Lindsay E. Lippman
212-424 8553
125 W 55TH ST
NEW YORK, NY
Henry Lewis Goodman
212-940-8537
520 MADISON AVE
NEW YORK, NY
Miriam Lynn Cohen
212-407-4103
345 PARK AVE
NEW YORK, NY
Christopher Royer Donoho
212-909 0600
590 MADISON AVE
NEW YORK, NY
William F. Costigan
212-759-3300
Dornbush Schaeffer, 747 3rd Ave
New York, NY
Erika Nicole Finn
212-850-2865
450 LEXINGTON AVE
NEW YORK, NY
Lori Ann Kujawski
787 Seventh Avenue
New York, NY
Alexander Craig Penley
917-582-8172
820 West End Avenue
New York, NY
Mary Louise Johnson
212-332-3525
TWENTY-FOURTH Floor 30 Rockefeller Plaza
New York, NY
Anthony Scardino
212-758-9300
950 3RD AVE FL 15
NEW YORK, NY
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Involuntary Bankruptcy- Dealing With The Effects Of The Suit

Author: Peter Gitundu

There are mainly two reasons why people opt to go to court to file a financial bankruptcy petition. Some find themselves doing this out of the poor spending habits that they have been developed over the years. While for others, bad luck just catches up with them. In such cases most people will go into voluntary insolvency which in simple terms is the debtor going to court to file a petition.



However, there is also the involuntary way of filing for bankruptcy. This is done by creditors who will normally come together and file a lawsuit on the debtor. This is known as involuntary insolvency. It begins with the creditors filing a petition and summons with the U.S court. The debtor will be served with a notice on the filed petition and will be expected to forward any objections within twenty days.



In case the debtor has no objections, the case will go on trial. Since this is mainly done in cases of business and not individuals, there are mainly two chapters under which the case can be filed. These are mainly chapter 11 and the liquidation chapter. Under the liquidation chapter, the debtor will be required to close down the business and have the assets liquidated while under chapter 11, the debtor will be given a chance to reorganize the business and continue working to pay off debts.



In chapter 11, the day-to-day running of the business will be handled by the debtor while all finances are handled by a trustee who is appointed by the court. Due to the final effects that the involuntary bankruptcy might have, the debtor would rather seek the courts help voluntarily.


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