Benefits of “automatic stay” in Chapter 11 Bankruptcy
Posted on Monday, January 16th, 2017 at 6:02 pm
For some businessmen who found themselves dealing with great financial issues, filing for Chapter 11 Bankruptcy could be one of their best options to possibly have temporary immunity from the hassles of debts.
Debtors who are undergoing this bankruptcy procedure are protected by “automatic stay”, allowing them to focus on how they could reorganize their business or look for a potential investor who could salvage their business. During an automatic stay, untoward actions for debtors, like foreclosure, repossession, or collections, are not permitted by the court. However, there are some situations where creditors may ask the judge to go after a debtors’ property, like if it is not necessary to the filing or the debtors does not have a share of the property.
Filing for Chapter 11 Bankruptcy could be a complicated process if you are not familiar with the law and its technicalities. However, if you are looking at filing in Raleigh, an attorney of Bradford Law Offices, PLLC may work for you. Call us today at (919) 758-8879 to learn more about your options.