Bankruptcy Rules and The Set of Official Forms For Use

The “Bankruptcy Rules,” also known as “The Federal Rules of Bankruptcy Procedure” or the “Bankruptcy Code,” are what govern the procedural aspects of bankruptcy when you choose to file for bankruptcy. The Bankruptcy Rules contain all of the official rules and regulations that govern the different types of bankruptcy. The Bankruptcy Rules also contain all of the original and revised statutes and all of the different procedures that govern bankruptcies on the federal, state, and local levels.

Main Types of Bankruptcy that One Can File

There are 6 main types of bankruptcy that one can file via the Bankruptcy Rules, with each being named after the chapter in which they appear in the Bankruptcy Rules:

• Chapter 7 – Liquidation, which involves the orderly, court-supervised procedure by which a trustee takes over the assets of the debtor’s estate, turns them into cash, and distributes that cash to the creditors, outside of a few exempt items that the debtor may keep.• Chapter 9 – Adjustment of Debts of a Municipality, which involves a reorganization of a municipality, such as a town, city, village, county, taxing district, municipal utility, or school district.• Chapter 11 – Reorganization, which involves commercial enterprises continuing to operate in business while paying back creditors through a court-approved plan of reorganization.• Chapter 12 – Adjustment of Debts of a Family Farmer or Fisherman with Regular Annual Income, involves giving debt relief to family farmers and fisherman who have a regular source of income.• Chapter 13 – Adjustment of Debts of an Individual With Regular Income, involves giving debt relief to an individual debtor who has a regular source of income.• Chapter 15 – Ancillary and Other Cross-Border Cases, involves a debtor or his/her property being subject to both the laws of the United States and one or more foreign countries.

Official Bankruptcy Forms

Many of the official bankruptcy forms that are needed to file a particular kind of bankruptcy are available at the U.S. Courts website. Any others that are not available for download can be found at your local courthouse.

There are two main groupings of forms:

• Official Forms, Instructions, and Committee Notes• Procedural Forms and Instructions

Essentially, the forms include lists of your creditors, assets, and co-debtors to provide the court with the relevant information that is needed to determine what you owe to your creditors and if anyone else shares in the same debt to those same creditors. This information is then used to determine whether the requested type of bankruptcy is agreeable to all parties involved, how exactly the debts will be paid off, and how long it will take to pay those debts off.

Attaining Legal Help

Knowing the Bankruptcy Rules, which type of bankruptcy to file, and knowing the exact forms to file for that type of bankruptcy can be very complex. An established and experienced bankruptcy attorney will know what type of bankruptcy will best fit your situation, will know what forms need to be filed to obtain that type of bankruptcy, and will provide the strongest case possible so you gain the type of bankruptcy you request to receive financial relief and to pay back your creditors in a timely manner.

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