Bankruptcy is a legal status of a person or organization that cannot repay the debts it owes to creditors. Filing bankruptcy in michigan is a complicated process, and having a Michigan bankruptcy lawyer to help with filing bankruptcy in Michigan is a good idea.
There are different forms of filing bankruptcy in michigan. Filing chapter 7 Michigan involves basic liquidation for individuals and businesses, and is the simplest form of filing bankruptcy in Michigan. Chapter 9 is municipal bankruptcy, and is a federal mechanism for the resolution of municipal debts. Chapter 12 bankruptcy is rehabilitation or reorganisation. It is used primarily by business debtors, but sometimes by individuals with substantial debts and assets. Chapter 13 bankruptcy Michigan involves rehabilitation with a payment plan for individuals with a regular source of income. This enables individuals with regular income to develop a plan to repay all or part of their debts. Chapter 15 is for cases of international debt, and provides a mechanism for dealing with bankruptcy debtors and helps foreign debtors to clear debts. Chapter 7 and Chapter 13 are the most common forms of bankruptcy today. All forms of filing for bankruptcy are best taken care of by a bankruptcy attorney Michigan.