chapter 11

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Chapter 11 is a chapter of the U.S. Bankruptcy Code. It allows for reorganization under the United States bankruptcy laws.

Chapter 11 is most often used by corporate entities, but is also available to businesses organized as a sole proprietorship, as well as to individuals.

In Chapter 11, a lot of times, a business does not cease operation. The debtor operates the business as a debtor in possession.

The business then becomes subject to the oversight and jurisdiction of the court.

A chapter 11 debtor usually draws up a plan of reorganization in order to keep its business alive and makes plans to pay creditors over time.

You will find bloggers discussing bankruptcy information at sites like Saving Without A Budget and My Legal Forms.

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