Articles Tagged with involuntary bankruptcy

Bankruptcy Lawyer Bryan W. Stone answers the question: “What are North Carolina’s exemptions?”

Charles Jones may have made his living reselling textbooks, but his resulting bankruptcy case is turning out to be anything but a textbook one.

Bankruptcy Lawyer Bryan W. Stone answers the question “What is Chapter 7 Bankruptcy?”

Most people are familiar with the basic outlines of the bankruptcy process: debtor files for bankruptcy protection, debts are either forgiven or restructured, creditors are given a chance to offer input, bankruptcy is discharged. Though this is how many such bankruptcies go, it isn’t always the case. In fact, when most people think of bankruptcy they are often talking about the voluntary bankruptcy approach, not realizing that there’s another option known as involuntary bankruptcy. To find out more about the involuntary bankruptcy process, keep reading.

Charlotte Bankruptcy Lawyer Bryan W. Stone of Arnold & Smith, PLLC answers the question “Can I keep my house if I file bankruptcy?”

 

Most times a bankruptcy is commenced when a debtor drowning in debt declares oneself bankrupt. In rare cases, however, a bankruptcy can be imposed upon a debtor.

Home Auction Sign Charlotte Debt Lawyer North Carolina Chapter 7 AttorneyThat is exactly what happened in a recent case in Charlotte, North Carolina.

In that case, the debtor in bankruptcy—a company—was declared bankrupt involuntarily by its creditors when the company became insolvent and unable to pay its obligations. At the direction of the United States Bankruptcy Court, the trustee overseeing the case marshaled the debtor’s assets—including three parcels of commercial real estate.

The trustee then proposed a sale of the properties in order to raise funds to pay off the debtor’s creditors in bankruptcy. United States Bankruptcy Judge Laura Beyer approved the sale of the three properties to satisfy the debts of creditors.  Ultimately the court will oversee the sale of the property pursuant to Section 363 of Chapter 11 of the United States Code. Title to the properties will pass to the buyer or buyers “free and clear” of any potential liens or claims.

To be clear: the debtor did not ask to be declared bankrupt, nor did it want its property sold to pay debts.

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