Recently on our bankruptcy forum a user asked, “I have over $35,000 in credit card debt. I have $50,000 in medical bills. I also have an outstanding student loan. I am wondering if I can file Chapter 7 bankruptcy. If so, what will Chapter 7 do for me and how does the court determine whether I qualify? I have heard it’s gotten more difficult to file over the last ten years or so.”
Sears, Roebuck and Company, once the leading retails of general merchandize, clothing and tools may not be long for this world according to a recent Fortune Magazine report.
In fact, give the years of declining sales, the company indicated there is “substantial doubt related to the Company’s ability to continue as a going concern.” In other words, the company has lost close to $10 billion in the last six years with their stock declining 9.3%.
USA Today reports that Gawker Media has been ordered by the courts to pay legendary wrestler Hulk Hogan an estimated $140 million dollars. The settlement which was ordered after an invasion of privacy lawsuit was filed by the wrestler has forced the media outlet to file for Chapter 11 bankruptcy protection and place their assets for sale.
Recently on our bankruptcy forum a user asked, “I own a small business and I am wanting to restructure my debt and continue my operations. I am wondering if I am allowed to do this, and if so, what role will the trustee have in my Chapter 11 bankruptcy?”
Aeropostale, Inc., a specialty retailer of casual apparel and accessories targeted at teen consumers, has announced that they file for Chapter 11 bankruptcy and will be closing 113 stores in the United States and another 41 stores in Canada. The goal of the teen targeted store is to “achieve financial long-term stability.” Aeropostale, like so many other teen focused stores, has hit on hard times. Even teen favorites like American Eagle and Abercrombie & Fitch report their earnings are also down.
Both Chapter 11 and Chapter 13 bankruptcy may allow you to modify secured debt contracts, discharge certain unsecured debts that cannot be repaid over the term of the bankruptcy repayment plan, and to keep certain property needed to operate your business. There are some differences between the two bankruptcies, however, which are discussed below.
The New York City Opera filed for Chapter 11 bankruptcy protection last week. City Opera had been continuously operating for over seven decades. Continue reading
Fresh & Easy Neighborhood Market Inc. filed for Chapter 11 bankruptcy protection on Monday.
The Scooter Store, which was at one time the largest seller of powered wheelchairs, scooters, other powered mobility devices in the United States, is going out of business at least in part as the result of fraud allegations.