Bankruptcy is suitable for individuals, companies and other different entities to apply for bankruptcy to eliminate debts or repay debts by installments. The procedure of bankruptcy cases is governed by federal law. The court will use state law to determine the impact of bankruptcy on the debtor's power. Once the bankruptcy application is filed, the automatic stay will take effect, all debt collection actions need to be terminated, and creditors are not allowed to collect debts and collect money from the debtor.

In case of financial problems of the company or individual, timely turn to the professional lawyer team to help you preserve the company or personal assets to the greatest extent. Please feel free to contact us at any time! We will provide you with a full range of bankruptcy legal aid.

Operating out of law offices nationwide, our firm has garnered acclaim from clients and peers alike. Our bankruptcy and restructuring group practices at the intersection of bankruptcy law and employee benefits law. The firm’s attorneys provide special counsel support on employee benefits matters to debtors, creditors, ad hoc or official creditor or equity committees, trustees, Taft-Hartley plans, employee groups or retiree associations, and other stakeholders. Where necessary, they will zealously litigate on their behalf. Our team draws on the support of our civil litigation, employment law, tax, due diligence, and international business affairs practices. 

The U.S. bankruptcy law belongs to the U.S. federal law, and the procedures for bankruptcy cases are governed by the U.S. federal law. The courts of the U.S. states generally do not hear bankruptcy cases. There are four main chapters of the U.S. Federal Bankruptcy Law concerning bankruptcy, and companies or individuals in the United States are protected by bankruptcy law. The seven chapters and the thirteenth chapter apply to individuals, and the eleventh chapter is designed for enterprises.

1. Chapter 7 : Liquidation of the non-exempt property owned by the debtor by the bankruptcy trustee to repay the creditor to the maximum extent. The property exemptions vary from state to state in the United States. In most cases, debtors can keep their main housing, part of their personal property and cars. Part of the debt that cannot be repaid through liquidation is forgiven. The income generated after filing for bankruptcy is not part of the bankruptcy, and the debtor can keep these incomes.

2. Chapter 11 : This bankruptcy involves the reorganization of the debtor’s business, debts and assets. The debtor can continue to operate and own all assets, while providing a restructuring plan to pay off the debt to the creditor. If the debtor fails to submit a reorganization and debt repayment plan within the time limit, the creditor can submit his own plan.

3. Chapter 13 : Similar to the reorganization and bankruptcy of Chapter 11, but Chapter 13 only applies to individuals. The debtor still owns and disposes of its assets, but he must make a plan to pay off the debt within three to five years. Part of the debt may be forgiven, depending on the debtor’s income. There are also restrictions on the amount of debt involved.

The goal of Blumsack & Canzano is to simplify the bankruptcy process as much as possible for our clients. According to the type and extent of your case, our bankruptcy lawyers provide services including:

1. Help you understand the eligibility requirements for filing for bankruptcy and how different types of bankruptcy apply.

2. Submit a petition to the U.S. Bankruptcy Court.

3. At the creditors meeting, negotiate with the creditors.

4. Cooperate with financial experts to help you master your finances and start over.

Coordinating related legal issues

When payment becomes difficult, distinguish secured obligations, unsecured debt and disputed amounts. Debt-relief and bankruptcy options need to be assessed alongside pending claims and judgments. The federal courts’ Bankruptcy Basics explains the procedural framework, but does not by itself determine whether a particular debt can be discharged or an asset retained.

Where estate or family assets are affected by debt, separate creditor demands, paid expenses and the asset inventory. Estate debts and distributions may require coordinated consideration of insolvency and debt procedures. The federal courts’ bankruptcy overview is a general framework, not a determination of the separate responsibilities of an estate, beneficiaries or other parties.

The contract price does not capture every financial consequence of a transaction. Income, payment and reporting questions should be considered alongside the transaction structure and allocation of responsibilities. The IRS business-startup resources help identify records requiring further review, while the appropriate treatment depends on the entity, transaction and relevant tax year.

Separate ownership and financing from the right to occupy a property. Real estate transaction documents may need to be reviewed together with leases, rent histories and repair records. The Massachusetts landlord and tenant resources are relevant to residential issues, while commercial arrangements require their own analysis of the governing contract and law.

Read payment terms, notice provisions and dispute-resolution clauses in the context of the transaction. Contract review identifies the commitments the parties made; a breach-of-contract dispute also requires matching those commitments to performance records. If a court case is contemplated, review the applicable civil procedures before allowing one isolated clause to drive the entire strategy.

Personnel issues can affect both business operations and individual rights. Pay, working-time and separation records should be considered alongside the employer’s policies and management arrangements. For federal wage questions, consult the Department of Labor’s FLSA guidance and separately review state requirements. A job title or the label chosen by the parties is not a substitute for examining the facts.

Ownership records and actual use can raise different issues in a property dispute. Title and transaction review should include payment, delivery and inspection records. If the dispute develops into contract or property-damage claims, document how each loss is calculated. Exchanges of evidence in litigation should follow the applicable discovery requirements.

Family and housing arrangements often need coordinated attention, but their legal questions should remain distinct. Marital property and family arrangements may involve a home, while title, financing and transfer documents raise transaction-specific issues. The Massachusetts divorce resources help identify the family-court process without replacing a review of the property documents.

The label attached to a payment does not resolve every tax issue arising from property division, support or inheritance. Review financial provisions in family agreements alongside the relevant tax-year filings. Where an estate or gift is involved, the IRS estate and gift tax resources help identify questions about transfers, income and reporting that require separate attention.