How Will My Personal Bankruptcy Affect My Business?

bankruptcy

If you’re not running a sole proprietorship, lawsuits against your business aren’t automatically “stayed” by your personal bankruptcy filing. In most instances, a bankruptcy filing, through the power of the automatic stay, halts any lawsuit against you and your business or prevents a threatened lawsuit from being filed in court. But there are a few exceptions to this rule; situations in which the automatic stay would not apply. In these cases, a creditor’s lawsuit could continue in spite of your bankruptcy filing. Because stopping such a lawsuit is likely one of the reasons you’re filing bankruptcy, it’s extremely important to …

Read more …

How will your personal bankruptcy affect your corporation?

Your corporation is considered a separate entity. Therefore, if you file personal bankruptcy it will not affect your corporation as a whole.  However, if your personal shares of the corporation are considered your personal assets, those shares could be liquidated as part of your assets, and the proceeds from the sale would be used to repay your creditors. Your corporation is considered a separate entity. Therefore, if you file personal bankruptcy it will not affect your corporation as a whole.  However, if your personal shares of the corporation are considered your personal assets, those shares could be liquidated as part …

Read more …

Can Medical Expenses Lead to Personal Bankruptcy?

Are your medical expenses out of control and leading you to consider bankruptcy? If so, you are not alone. At the top of the list of reasons people file personal bankruptcy, medical expenses are there. Increasing Medical Expenses can Lead to Personal Bankruptcy The average American’s medical expenses have increased dramatically over the years. Many Americans are covered by medical insurance for minor illnesses and complications. When their illness is more serious and involve higher medical bills, some Americans realize they are under-insured. Not all Insurance will Cover your Medical Expenses The costs associated with uncovered medical services or other …

Read more …