Lafayette Chapter 12 Bankruptcy Lawyers
Individuals with family-owned farms and fisheries have their own form of bankruptcy, which is Chapter 12 bankruptcy. Chapter 12 bankruptcy works much like Chapter 13 bankruptcy, but it has special provisions that are unique for farmers and fishers.
Owners of farms and fisheries may find themselves facing serious financial struggles, and bankruptcy may be the best way to remedy those struggles. If you are facing bankruptcy and want to know more about the legal options that are available, contact Lafayette Chapter 12 bankruptcy lawyer Adam G. Young, PLC, today at 337-261-8800 for more information.
Understanding Chapter 12 Bankruptcy
Chapter 12 bankruptcy did not become a part of bankruptcy law until 1986. Until then, farmers and fishers had to choose between the other bankruptcy chapters to determine the best way to make their debts more manageable.
Under Chapter 12 bankruptcy, owners of farms and fisheries can:
- Keep their farms and fisheries
- Work out more manageable repayment plans with creditors
- Pay back debts at a reduced rate
These benefits are essentially the same as those offered in Chapter 13 bankruptcy. One of the most notable differences is the amount of debt an individual may have; farmers and fishers are allowed to have greater amounts of debt restructured because of the costs associated with their trades.
Who Is Eligible for Chapter 12 Bankruptcy
Determining whether you are eligible for Chapter 12 bankruptcy can be a difficult task. Even if you make your living farming or fishing, you may not be eligible. Generally, those who can file for Chapter 12 bankruptcy must meet the following criteria:
- The family must own 50% or more of a farm or fishery
- The family that owns the business must operate it
- The family’s debts must not exceed a certain amount
Since these criteria may change, it is best to consult with an experienced Lafayette Chapter 12 bankruptcy lawyer before proceeding with any bankruptcy filing. An experienced attorney can help you determine eligibility, help you file for bankruptcy, and can make sure that your rights are protected throughout the bankruptcy proceeding.
Family farms and fisheries may be entitled to Chapter 12 bankruptcy protection when they face financial difficulties. If your family owns a farm or fishery and is facing financial trouble, contact Lafayette Chapter 12 bankruptcy attorney Adam G. Young, PLC, at 337-261-8800 today for the legal assistance and protection you need.