Chapter 11 Bankruptcy 2020-01-31 08:00:00

Chapter 11 Bankruptcy

Chapter 11 bankruptcy is a reorganization of a business’s debts and is not an asset liquidation like a Chapter 7 bankruptcy is. Chapter 11 is the most complex and costly form of bankruptcy. A court decides how a company’s debts will be restructured, although the business or individual has the first chance to propose a reorganization plan. Most companies remain open and operational during Chapter 11.

If the case involves fraud, dishonesty, or gross incompetence, the court will appoint a trustee to run the business. All business decisions must then go through the court.

 


Download The Guidebook To IPWM

Another Way To Own Investment Properties

Learn More About How Investment Property Wealth Management works.