Making the Most of Florida Bankruptcy Law

Pay your business debts with the help of Florida bankruptcy laws

The key to making the most of Florida bankruptcy law is to develop a plan that will allow a debtor to resolve debts by dividing assets among creditors. The purpose of this division of assets is to allow creditors to be treated with some measure of equality under bankruptcy law. Florida bankruptcy proceedings may allow a debtor's business to remain open and use its revenue to resolve the debts.

A bankruptcy in Florida may also allow some debtors to be discharged from their financial obligations after their assets have been distributed, even if not all of the debts have paid. Bankruptcy is addressed in the following chapters of Title 11 of the United States Code:

1. Chapter 7 filings are called liquidation. This is the most common type of FL business bankruptcy and involves the sale of non-exempt property and distribution of the proceeds among the creditors.
2. Chapter 11 filings are called reorganization. This involves the debtor to be rehabilitated so they may use future earnings to repay creditors.
3. Chapter 12 filings involve the adjustment of the debts of a family farmer with a regular annual income
4. Chapter 13 filings are the adjustment of debts for an individual with a regular income.
   

 

Make the most of FL bankruptcy laws by keeping up with legislation changes

Federal bankruptcy laws changed dramatically in 2005 and bankruptcy filings now are much more difficult. The debtor must also attend credit counseling and take a means test.
Try: The United States Bankruptcy Court Middle District of Florida has links to a variety of bankruptcy laws including the Bankruptcy Reform Act. Get extensive legal analyses of the United States bankruptcy code by chapter at U.S. Courts.

Choose the type of business bankruptcy in Florida you wish to file

The best type of bankruptcy can be a complex decision involving many different factors. There are several websites that provide information that will assist you in this important decision-making process.
Try: Florida Bankruptcy Legal Summaries provides an overview of the different types of bankruptcy filings and offers informative bankruptcy resources. Access a variety of articles on bankruptcy to help you select the best type of filing for your business situation at Bankruptcy 411.

Select a Florida bankruptcy attorney to help you through the process

Bankruptcy lawyers in Florida can help you understand the often complex laws regarding bankruptcy filings. Many of these attorneys also provide summaries of these laws on their websites.
Try: Brian O'Sullivan, Attorney at Law provides specific information on Florida bankrupcy laws and also has additional articles on bankruptcy. Learn how bankruptcy attorneys can benefit your business at Ruff and Cohen, a law firm that features an online bankruptcy FAQ and links to many resources on bankruptcy law.

 

• A Chapter 7 filing doesn't require the filer to repay any of the debt, making it the most popular type of bankruptcy. Florida homeowners may be better off with a Chapter 13 bankruptcy if they are behind on their mortgage payments, but still want to keep their house. In this case, they would include the debt from the mortgage in the Chapter 13 plan and repay it over time.

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