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What is a Chapter 7 bankruptcy?

What is a Chapter 7 bankruptcy?

  • December 31, 2019
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Contact us today at Winsor Law Group to discuss your options for both personal and business bankruptcy relief.

Chapter 7 of Title 11 of the United States Code is the set of laws that governs the liquidation (or sale) of a debtor’s assets to satisfy the debtor’s legal obligations to pay creditors.  An officer called a Chapter 7 Trustee is appointed to review assets of the debtor, determines whether assets can and/or should be sold, administers the sale of the assets, files lawsuits to recover certain asset transfers, and distributes sale proceeds to creditors.

Not all Chapter 7 cases result in a liquidation of assets, but even if a trustee does not liquidate property, the debtor can still obtain a “discharge” of debts.

Contact us today at Winsor Law Group to discuss your options for both personal and business bankruptcy relief.

Disclaimer: This article is for informational purposes only. If you have questions about filing bankruptcy, please fill out our short questionnaire and Winsor & Reed will set up a consultation to see if bankruptcy is the right option for you. We are a debt relief agency. We help people file for relief under the Bankruptcy Code.

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