Chapter 11 bankruptcy gives you the chance to develop a repayment plan to pay off outstanding debt while under supervision of a bankruptcy court in Ocala. Getting and completing a Chapter 11 bankruptcy in Ocala is a long process that involves multiple stages. It helps to understand the stages of a typical Chapter 11 bankruptcy timeline to know what to expect and to ensure that you submit the right docuements, attend important hearings or meetings, and be able to prepare and complete your repayment plan.
180 Days Prior to Filing: Credit Counseling
Receive credit counseling and complete it so you can be eligible for Chapter 11 bankruptcy. Credit counseling can give you educational foundation that can help you make better financial decisions in the future. The US bankruptcy code states requires credit counseling is required before filing your petition, and you must receive it from an approved credit counseling agency.
Filing the Petition for Chapter 11 Bankruptcy and the First Day of Hearing
This marks the beginning of the process. You must also submit a list of your creditors and pay for the filing fee. Automatic stay takes into effect, so creditors cannot harass or ask for payments from you for the time being. The first day of hearing takes place in 48 hours from filing the petition.
Approximately 14 Days After the Petition: Creditors' Committee
The bankruptcy court sends information about your case to the Office of the US Trustee, which is responsible for appointing the official creditors' committee for your Chapter 11 bankruptcy case. The committee will consist of some your creditors who are responsible for making decisions on behalf of all creditors in your case.
30 to 60 Days After the Petition: Meeting of Creditors
Also known as the '341 meeting', this is when you and the creditors talk. The trustee has the chance to ask you about your income, outstanding debts, property, and other issues related to the case. Creditors may choose not to attend the meeting.
120 Days or More After the Petition: Reorganization Plan
This is crucial in Chapter 11 bankruptcy in Ocala because it determines how you will restructure and repay your debts. Submit the plan to the bankruptcy court for consideration. Creditors may object to your repayment plan if they think it is not feasible and propose their own.
14 Days After Submitting the Final Plan: Confirmation and Discharge
The court must determine that your reorganization plan is feasible, legally sound, and made in good faith before it is confirmed. Upon confirmation, the debts will be discharged. However, it is still your responsibility to abide by the terms and agreements set in the repayment plan.
Talking to a Chapter 11 bankruptcy attorney can help you go through the legal process easily and successfully file a Chapter 11 bankruptcy in Ocala. Contact us here at The Law Offices of Justin McMurray to get started with a free consultation with a local Ocala lawyer. The Law Offices Of Justin McMurray provides legal representation and counsel for bankruptcy cases in Ocala, Florida. By focusing on your individual needs, we can make the process as fast and easy as possible.