Chapter 11

Chapter 11 Alternatives. Are creditors getting you underyour skin? Have your bills been getting you down? Get help today. Some critics have claimed that Chapter 11 bankruptcy is excessively lenient in giving a needless escape hatch to the incompetent management of a failing company, damaging the efficiency of the economy as a whole and allowing poor managers to continue. Individuals may file Chapter 11, but due to the complexity and expense of the proceeding, this option is rarely chosen by debtors who are eligible for Chapter 7 or Chapter 13 relief. Once Chapter 11 is filed, the company may emerge from bankruptcy within a few months or within several years, depending on the size and complexity of the bankruptcy. Chapter 11 is a chapter of the United States Bankruptcy Code which governs the process of reorganization under the bankruptcy laws of the United States. A bankrupt company, the debtor, might use Chapter 11 of the Bankruptcy Code to reorganize its business and try to become profitable again. Find information on Chapter 11 bankruptcy law.