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Written by Canterbury Law Group

3 Options in Business Bankruptcy

The Scottsdale bankruptcy attorneys at Canterbury Law Group work in business bankruptcy, which allows a company to efficiently sell assets or to liquidate in a controlled manner. Just like any other business strategy, bankruptcy should be considered early enough to be a viable strategy to preserve the business’s assets and help it continue as a going concern. Bankruptcy can also be an important tool for assisting in an orderly wind down and liquidation of a business and its assets. In addition to the some of the strategic benefits, liquidating through bankruptcy can provide numerous benefits over merely dissolving your entity.

There are three types of bankruptcy that your business may file for depending on its business form. Sole proprietorships are legal extensions of the owner; therefor the owner is responsible for all assets and liabilities of the firm. A sole proprietorship can take bankruptcy by filing for Chapter 7, Chapter 11 or Chapter 13. Corporations and partnerships are legal entities separate from their owners. As such, they can file for bankruptcy protection under Chapter 7 or Chapter 11.

1. Chapter 7 – The most common form of bankruptcy in the United States, Chapter 7 bankruptcy, provides individuals with a discharge of all debt which are “dischargeable” under the Bankruptcy Code. In a Chapter 7, all of the debtor’s non-exempt assets on the petition date are liquidated through the priorities set forth in the Bankruptcy Code. At the time of filing, the bankruptcy code establishes the creation of your “debtor’s estate” which includes all “non-exempt assets.” As a Debtor you have various duties and obligations, including significant duties of co-operation, which are owed to the Trustee. These obligations are designed to assist the Trustee in the administration of your bankruptcy estate.

2. Chapter 11 – More individuals, usually with a high net worth, are turning to Chapter 11 to solve their bankruptcy needs. The bankruptcy attorneys at Canterbury Law Group have significant experience with Chapter 11 filings, which tend to be more complex, and are capable of filing an individual case under Chapter 11 as mandated by the facts of each individual case.

3. Chapter 13 – This type of bankruptcy is not a per se liquidation but rather involves a restructuring of debt typically over a three or five-year period, pursuant to a plan which is filed with, and approved by, the Court. This plan allows a debtor to pay its creditors a percentage of the amounts owed to them. Like in a Chapter 7, in a case under Chapter 13, the court appoints a Trustee. Pursuant to the terms of your Chapter 13 plan, you make one single global monthly payment to the Trustee, who then pays the creditors their pro-rata share of what is owed.

Canterbury Law Group is uniquely qualified to represent clients in the sophisticated business bankruptcy cases. The range of services we provide depends on an individual’s or a company’s unique situation. Call us today to schedule a consultation. 480-240-0040. www.canterburylawgroup.com

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Written by Canterbury Law Group

Understanding Divorce and Custody Terms in Arizona

A component of any Arizona divorce when children are involved is a court enforceable parenting plan. When parents cannot mutually agree on a child plan, the court will often establish a plan that the parents must follow for the children’s health and welfare. In some situations, unmarried parents, relatives or other court approved persons can obtain custody or parenting time. Regardless of the facts presented, Arizona law requires that the best interest of the child be the lead consideration above any other.

The family law attorneys at Canterbury Law provide legal strategies throughout the Phoenix area to protect what matters most in divorce – the long-term welfare of the children. Here are common custody terms that one can expect to hear when children are involved in divorce.

Sole Custody – This term is used when one person has sole legal custody of a child. In this situation, the court orders that one parent be responsible for making the major decisions regarding the child’s care or welfare. Although both parents may discuss these matters, the parent designated by the court has authority to make final decisions in the event the parents do not agree.

Joint Custody – Often referred to as joint legal custody or joint physical custody, this type of custody requires that both parents submit a parenting plan to the judge. Canterbury Law in Phoenix can guide you on all the steps in your divorce and custody needs.

Legal Custody – Legal custody is the status where one or both parents are responsible for making the major decisions regarding the child’s care or welfare. When legal custody is awarded to one parent, it is called “sole legal custody.”

What is “Joint Legal Custody”? – When the court grants joint legal custody, each of the parents has the same rights to make decisions about the child’s care and welfare and neither parent’s rights are superior to those of the other parent.

Joint Physical Custody – When the court grants joint physical custody, the place where the child lives (the child’s physical residence) is shared between the parents in a way that the child will have essentially equal time and contact with both parents. Joint physical custody may be granted in situations where parents share joint legal custody or when one parent is granted sole custody.

Let our dedicated family law team help with protecting the security of your children. Contact us today for a consultation.

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