- Chapter 11 is generally considered the appropriate form of bankruptcy for businesses seeking bankruptcy protection. It is sometimes called "business reorganization." Individuals - as opposed to corporations, partnerships, and other forms of business - may file Chapter 11. Just because the person who owes you is an individual, it does not mean that he will not seek bankruptcy protection under Chapter 11. Chapter 11 plans can range from straight liquidation plans - wherein the debtor proposes merely to surrender or sell off all assets and pay whatever it can, usually nothing, on its debts - to plans which propose to reorganize the business and pay all debts in full. Creditors have rights to vote on proposed plans, but do not have absolute veto powers, as a general rule. Chapter 11 cases can be complex and adequate legal representation is almost indispensable.
- If you are a creditor or represent a creditor who has received a chapter 11 filing in Alabama and want to know more about our services and how we can help, e-mail us now.