Bankruptcy Terms You Should Know
If you are going through a bankruptcy and or are considering going through the process, then there are several terms that you should know. Understanding these terms will make the process less confusing. For legal advice and assistance, contact Ursulova Law Offices to speak with an experienced Brighton Beach Bankruptcy Attorney.
What does a it entail?
Bankruptcy is the process of obtaining relief from debts and creditor claims. A bankruptcy may result in a complete discharge of your debts or the creation of a repayment plan. The purpose of a bankruptcy is to allow individuals and families a fresh start financially. To achieve the full benefit of a bankruptcy, you should contact a Brighton Beach Bankruptcy Attorney.
What are some terms you should know?
Following are several bankruptcy terms that may come up in your case. Knowing these terms will help you better understand what is happening during the process.
- 341 Meeting: This is the first meeting of creditors where claims filed in the bankruptcy are identified.
- Adversary proceeding: A lawsuit filed within the bankruptcy case
- Automatic stay: In a bankruptcy, creditors are required to cease debt collection efforts. This is an order from the bankruptcy court. If a creditor ignores the automatic stay, then penalties may be imposed.
- Bankruptcy Code: This is the set of laws that govern the bankruptcy process.
- Bankruptcy Court: Where the bankruptcy proceedings are filed and where the case will be heard.
- Bankruptcy Estate: The debtor’s property interests and assets that are considered in the bankruptcy.
- Chapter 7: A type of bankruptcy where assets are sold to satisfy creditor claims.
- Chapter 9: A type of bankruptcy filed by a municipality.
- Chapter 11: A type of bankruptcy for businesses.
- Chapter 12: A type of bankruptcy for family farmers.
- Chapter 13: A type of bankruptcy where a debtor’s assets are not sold, but a repayment plan is established.
- Creditor: An individual or entity to whom a person owes money.
- Debtor: The individual or entity seeking relief from creditors through the bankruptcy process.
- Discharge: The satisfaction/elimination of debts and creditor claims.
- Exemptions: Certain property and assets may be excluded from consideration in a bankruptcy.
- Liquidation: The sale of assets to satisfy creditor claims.
- Petition: The document that is filed to commence a bankruptcy.
- Proof of claim: The document filed by a creditor to assert its claim.
- Secured claim: A creditor claim that is secured by a lien or security agreement.
- Trustee: An individual appointed by the bankruptcy court to oversee the process.
- Unsecured claim: A creditor claim that is not supported by a lien.
How can a Brighton Beach Bankruptcy Lawyer help?
A Brighton Beach Bankruptcy Lawyer can discuss with you the different bankruptcy options that are available. We will help you determine whether bankruptcy is advisable and which type of bankruptcy best suits your situation.
If bankruptcy is recommended, then a bankruptcy lawyer in Brighton Beach can help you gather the information necessary to start the process. We will help ensure that you receive the full benefit of the process. A bankruptcy lawyer in Brighton Beach will help ensure that all debts and creditor claims are included. We will also help you claim exemptions to preserve certain assets and protect them from the process.
At Ursulova Law Offices, our experienced legal team strives to help our clients understand their options and achieve bankruptcy relief in an efficient and timely manner. If you are considering bankruptcy or simply have questions about the process, contact us to schedule a consultation.