Bankruptcy, Restructuring, and Creditor’s Rights


Christopher Combest quoted in article “How Another Business Going Bankrupt Can Affect You”

Below is an excerpt:

Business bankruptcy comes in two flavors — Chapter 7 and Chapter 11— that are named for the section of the federal bankruptcy code that defines them.

“Chapter 7 is what we call the liquidation chapter,” Combest says. “A company that files Chapter 7 is essentially throwing in the towel.”