Free Republic
Browse · Search
News/Activism
Topics · Post Article

To: Cap'n Crunch

Sorry to hear about the pizza place. I tried my hand at that years ago and had to concede to Little Ceasars, et al (there went my dreams of owning the Red Wings and Detroit Tigers).

I practice bankruptcy law but everyone is still navigating the new law and its hurdles.

In your case, the issues are:

1) Are you incorporated, and if so, did you personally guarantee your business debt? If you aren't liable for the business debt, an Ohio corporate attorney can help you simply dissolve the business and assign any assets for the benefit of creditors.

2) To the extent that you are liable, and can't afford to pay it off, you will probably have to file Chapter 13 (as would have been the case last year) since, in your occupation, you PROBABLY have too much income to qualify (unless maybe you've retired or if you have lots of dependants). Also, if you have a lot of equity in your house and if Ohio doesn't offer you greater homestead exemptions than the feds, you will need to go Chapter 13 to keep your house from being attached for creditors.

The long and short of it is, see an Ohio attorney and get a consultation. That is often free, but even if you have to pay a couple hundred its worth it to get a complete evaluation of your options.


26 posted on 03/23/2006 4:31:26 PM PST by Larry Lucido
[ Post Reply | Private Reply | To 1 | View Replies ]


To: Larry Lucido
you PROBABLY have too much income to qualify

I meant to add "for Chapter 7."

Under Chapter 13, the court will let you keep all your assets but will have you pay all disposable income to the U.S. Trustee, which will be paid pro-rata to your unsecured creditors, after which you will be eligible to receive a discharge of any remaining balance.

32 posted on 03/23/2006 4:34:53 PM PST by Larry Lucido
[ Post Reply | Private Reply | To 26 | View Replies ]

To: Larry Lucido

Thanks. Yes, we're incorporated but if I go under I'm liable for the debt.

I've met with an attorney twice already, he says he can get me in a chapter 7. He's out of town for a few weeks but from what he's telling me I'll either lose my house or have to re-buy it after they take it.

The way this city is I don't want it back, I just want to get on down the road. I'm about 3 to 5 years away from retirement. 3 for the minimum retirement.

Thanks for the insight.


57 posted on 03/23/2006 4:56:34 PM PST by Cap'n Crunch
[ Post Reply | Private Reply | To 26 | View Replies ]

Free Republic
Browse · Search
News/Activism
Topics · Post Article


FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson