An attorney for bankruptcy handles every bankruptcy proceeding in federal court. The bankruptcy code allows two forms of bankruptcy: liquidations and the reorganization.
Chapter 7 bankruptcy law allows those who are in debt, with exception of child support payments and taxes , to eliminate all his obligations. The trustee appointed by the court of bankruptcy in order to seize assets and repay the creditors, excluding exempt property. The best example of individuals who capitalized on this law can be Walt Disney and George Foreman.
Another type of bankruptcy is the reorganization of the debt that is covered subject to Chapter 13 for an individual or Chapter 11 for a business. Chapter 13 bankruptcy allows debtors to retain their property and pay back creditors in an arrangement that is imposed by the court based on earnings and expenditures. If your equity is not sufficient to cover the lien’s value, you may be able to remove certain kinds of liens, such as second mortgages. 5kqndjgguc.