Bankruptcy is the legal term that defines the status of an individual or organization that cannot repay the debt it owes to creditors. In most cases, bankruptcy is filed by the debtor, although in some cases creditors file a bankruptcy petition against a business or corporate entity in an effort to collect what is owed. When declaring bankruptcy, all assets must be disclosed even if the debtor believes the asset does not have value. It is, however, for the creditor to decide whether an asset has value or not.
Bankruptcy comes under the federal law that allows a person with extreme debt to reduce the amount of debt owed and extending the period of time the lowered debt to be paid. The bankruptcy laws are referred to by chapter number. A Miami Bankruptcy Lawyer will guide you through the process of bankruptcy and make sure you file the correct chapter of bankruptcy. There are 5 Chapters that deal with bankruptcy and 3 of those are for individuals.
New bankruptcy laws that have taken effect the last few years and make it more difficult for individuals and businesses to file bankruptcy. A Miami Bankruptcy Lawyer will be well versed with the current laws and how they apply to the business, organization or individual. They will be able to explain how the system works and what the ramifications and impact are for you. There is more to filing for bankruptcy than just riding oneself of a debt. There are stop gaps put in place that a bankruptcy petitioner must follow before a bankruptcy discharge is allowed.
The best way to hire a Miami Bankruptcy Lawyer is to ask family and friends for recommendations. They may have used a bankruptcy attorney in the past or may know someone who did. Those family or friends may recommend a trustworthy attorney or tell you who you may wish to stay away from. The state bar association where you live have a referral service that will provide the names of suitable attorneys in your area. No matter how you find a Miami Bankruptcy Lawyer, make sure the attorney has not been the subject of any ethical complaints.
When you have a name or two, call the attorneys and set up a meeting. Ask if the consultation is subject to a fee and if so, will it be applied to the fee if you hire that particular attorney. At this meeting, ask the attorney about their experience with bankruptcy and how many they have handled. Ask for references and contact those people and find out what their experience with that attorney was. If the attorney listens to your concerns, answers all your questions and makes you feel comfortable, that just might be the attorney to hire.