On the debtor’s side, Troy Law regularly represents individual and corporate clients in all boroughs of the city to get discharges on existing credit card and business debts in Chapter 7 proceedings, restructuring and reorganization in Chapter 11 and Chapter 13 proceedings, and workouts and buyouts. We leverage our expertise to devise the optimal solutions for domestic and international institutional clients in financial distress.

Bankruptcy allows for honest debtors to get a “fresh” start by relieving debtors of most debts while repaying creditors in an orderly manner to the extent there is property available for payment.

Here are the main types of bankruptcy proceedings:

• Chapter 7/ Liquidation: If you are unable to repair your financial situation, you can liquidate your estate under the rules of the bankruptcy code. Your non-exempt property is sold for cash by a trustee and the proceeds are distributed to creditors.
• Chapter 11/ Reorganization: If your corporation, partnership, or yourself (under limited circumstances) can be reorganized in a way to become financially productive, you may not need to liquidate all your assets. Instead, you can present a plan to creditors, which if accepted by the creditors and approved by the court, allows you to continue to run the business.
• Chapter 13: If you believe you can repay the debts within a reasonable amount of time, you may file a plan in which you agree to pay a certain percentage of the future income to the bankruptcy court trustee in payment of creditors. If the court approves the plan, then you will be under the court’s protection while repaying the debts.