| Bankruptcy Reform - Will It Affect Eligibility? |
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| The battle over bankruptcy reform seems to be an ongoing struggle between the would-be reformers and those who feel that debtors' rights would be adversely affected by reform of the bankruptcy laws. Despite the differences in opinion, many lawmakers agree with creditors that loopholes in the law need to be closed. More... |
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| Chapter 12 Discharge |
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| Upon successful completion of all payments under a chapter 12 plan, the debtor will receive a "discharge" which extinguishes the debtor's obligation to pay any unsecured debts that were included in the plan, even though they may not have been paid in full. After the discharge has been granted, those creditors whose claims were provided for in full or in part under the plan may no longer initiate or continue any legal or other action against the debtor to collect the discharged obligations. More... |
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| The Bankruptcy Estate |
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| The filing of a bankruptcy petition for an individual debtor under Chapter 7 or Chapter 11 of the bankruptcy code creates a separate taxable bankruptcy estate. The bankruptcy estate consists of all of the debtor's legal or equitable interests in property as of the filing date.More... |
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| Contractual Rights |
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| The Bankruptcy Code protects the exercise of certain contractual rights by a party to a ''securities contract'' with the debtor to liquidate securities contracts from stays, avoidance and other limitations. The term ''securities contract'' includes contracts for the purchase and sale of securities, options, securities lending agreements, transactions involving certificates of deposit, securities indexes and exchange-traded foreign currency options, and settlement arrangements between securities clearing agencies and their participant members.More... |
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| Disclosure Statements |
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| Debtors must report assets, liabilities, contested claims, and other business affairs. The purpose of these disclosures is to allow creditors an opportunity to evaluate proposed plans. Disclosure statements must contain "adequate information." The specific information required is determined on a case by case basis by the court and may include any information which the court deems reasonable and necessary for parties in interest to reach informed decisions before voting on plan confirmation.More... |
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