BANKRUPTCY LAW

  Bankruptcy helps people who cannot meet financial obligations to be excused from paying some of the debt.  Bankruptcy has been in existence since ancient times.  Rules and rules for filing bankruptcy in the United States are governed by the Federal government.  States are normally Read More …

Bankruptcy

I am working on a graduate level paper about using “Discriminate Analysis and other models” in Bankruptcy prediction and having trouble understanding the basic concepts of the overall nature of this assignment. I understand that it involves comparing statistical analysis but most of my research on “discriminate analysis” is taking me to medical references. Can you provide some direction on better understanding this concept?

 

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Bankruptcy Law

The law firm is in the process ofpurchasing a number of new company desktop computers, printers, notebook computers and servers. Your firm is planning to borrow money from a bank to complete the transaction. The IT manager who is in charge of the transaction does not understand what type of contract the company is entering into with the bank, or what most of the legalterminology means. Your supervising partner wants you to explain secured and unsecured bebt and what occurs if the firm defaults on the agreements to purchase the technology equipment.

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Bankruptcy Law

Required to prepare a report discussing the following options for a client who is in serious business trouble. Our firm’s client just recently revealed that his company was $2.9 million in debt and that his company is not incorporated. The client has reluctantly asked if our firm could advise him on the process of bankruptcy.

1-define bankruptcy
2-explain if the client can file Chapter 7 bankruptcy – why/why not
3-explain if the client can file Chapter 11 bankruptcy – why/why not
4-explain if the client can file Chapter 13 bankruptcy – why/why not
5-discuss the benefits and drawbacks of the client filing bankruptcy
6-discuss how the type of bankruptcy would differ if the client’s company was owned by a partnership
7-offer advice on whether or not the client should file bankruptcy and if so, which type of bankruptcy should the client fil

 

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Foreclosure and Bankruptcy

My mom is living in her home in Illinois. She has not paid her mortgage in about two years. My father passed away and things became too much for her to handle. She filed bankruptcy in March of this year which I think stopped her foreclosure. I believe they called it a “Stay”. My question is how long does she have in the house before they evict her with a “stay”? If she decides to move out (abandon) the property, leaving it in move in condition would she be violating or comitting a crime?

 

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Bankruptcy and Reorganization

1. Consider the following cases on Bankruptcy and Reorganization.

Petition
In March 1988, Daniel E. Beren, John M. Elliot, and Edward, F. Mannino formed Walnut Street Four, a general partnership, to purchase and renovate an office building in Harrisburg, Pennsylvania. They borrowed more than $200,000 from Hamilton Bank to purchase the building and begin renovation. Disagreements among the partners arose when the renovation costs exceeded their estimates. When Beren was unable to obtain assistance from Elliot and Mannino regarding obtaining additional financing, the partnership quit paying its debts. Beren filed an involuntary petition to place the partnership into Chapter 7 Bankruptcy. The other partners objected to the bankruptcy filing. At the time of the filing, the partnership owed debts of more than $380,000 and had approximately $550 in the partnership bank account.

Should the petition for involuntary bankruptcy be granted? Explain.

2. Plan of Reorganization

Richard P. Friese (Debtor) filed a voluntary petition for Chapter 11 bankruptcy. In May 1989, Debtor filed a plan of reorganization that divided his creditors into three classes. The first class, administrative creditors, were to be paid in full. The second class, unsecured creditors, were to receive 50% on their claims. The IRS was the third class. It was to receive $20,000 on confirmation and the balance in future payments. No creditors voted to accept the plan. The unsecured creditors are impaired because their legal, equitable, and contractual rights are being altered.

Can the bankruptcy court confirm the debtor’s plan of reorganization? Explain.

3. Who may file Chapter 7 bankruptcy? How has this changed over the past year?

4. What are some of the reasons people file bankruptcy?

5. How does bankruptcy affect interest rates on loans? Credit cards?

 

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Bankruptcy Law

The law firm is very concerned that the client would not be able to pay anyjudgment levied against it by the courts in a civil tort case. Due to recent robberies and legal troubles with the client, your company is worried that the client may have to file bankruptcy. The client has just over $400,000 in debt and is not incorporated.
You have been tasked with putting together a report on the following issues:

Can the client file Chapter 7 bankruptcy? Explain
Can the client file Chapter 11 bankruptcy? Explain
Can the client file Chapter 13 bankruptcy? Explain
What are the benefits and the negatives of the client filling bankruptcy?
If the client is a partnership, how does this affect what type of bankruptcy it may file?

 

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