Bankruptcy is a legal proceeding filed in federal court and available to those who cannot repay their debts. It offers individuals and businesses a fresh financial start. A bankruptcy petition may be filed by an individual, by spouses together, or by a corporation or other entity. Upon filing for bankruptcy, debtors are protected by the bankruptcy automatic stay, which stops creditors from trying to collect on debts, until court proceedings are completed.
In other words, Bankruptcy is a way you can wipe out your debts in usually 4 months. Our office prepares documents and paperwork for you and makes sure you are protected as well as your house and car. Once we know you qualify, we will file it with the Court. In the Orlando Bankruptcy Court, after about 30 days, there will be a Court hearing but guess what? It is via ZOOM so you will not even have to come to Court.
The rules of bankruptcy are outlined in the U.S. Bankruptcy Code and are handled in federal courts. The Bankruptcy Code of Laws and Procedures we have today was created in 1978 and instituted by our federal government.
There are different types of bankruptcies, which are referred to by chapter in the U.S. Bankruptcy Code.
- Individuals may file Chapter 7 or Chapter 13 bankruptcy, depending on their situation.
- Businesses may file bankruptcy under Chapter 7 to liquidate or Chapter 11 to reorganize.
Administration over bankruptcy cases is often managed by a bankruptcy trustee, which is an officer appointed by the United States Trustee Program of the Department of Justice.
When a debtor receives a discharge order, they are no longer legally required to pay the debts specified in the order. A discharge order is an order by a court of law saying that a person or company that is bankrupt is no longer responsible for paying back its debts. Any creditor listed on the discharge order cannot legally partake in any type of collection activity (i.e.- making phone calls, sending letters, etc.) against the debtor. Under U.S. law, a debtor may only receive a discharge of debts in a Chapter 7 bankruptcy once every eight (8) years.
Not all debts qualify to be discharged. These include tax claims, child support, alimony payments, personal injury debts, debts to the government like tolls and traffic tickets, and anything that was not listed by the debtor in the bankruptcy petition.
Bankruptcy is a complex legal process. The decision of whether to file, when to file, Florida’s bankruptcy exemptions, and how to complete the bankruptcy forms are all key factors to consider. For this reason, hiring an attorney with experience in bankruptcy law is essential. I have seen firsthand on a monthly basis, people that did not file without an attorney get raked over the coals because they transferred something out of their name or gave money or paid back friends or family. We can go over every possible outcome in a FREE consultation. Our firm has filed more cases than any other law firm in Florida since 2015. We have over a thousand five star reviews and for us, communication and great service is key during this serious legal process. Let us help you today press the Restart Button.