Bankruptcy
Bankruptcy is a legal way to get breathing room from severe financial distress. The Bankruptcy code has become more complex, but it still is available for all sorts of individuals and businesses that find themselves in difficult positions.
Creditors also face challenges when someone they lent money to goes bankrupt. Often an asset held by a debtor has equity greater than the exempt amounts provided by statute, or a creditor has a secured interest in the property that takes priority over others. In either case, a bankruptcy attorney should be consulted.
