US Bankruptcy code

US bankruptcy code chapter – 11 is applicable for the business owned and organized under a board of trustees or a single proprietor. However a business planning to file bankruptcy with a US

bankruptcy court under the chapter – 11 of the US bankruptcy code should know about the features of a case filed under the chapter – 11 of the law. Some of these features are designed to relief the debtor from imminent repayment of debt while there are some other features that are designed to do justice to the rights of the share holders of the business, in case the company is listed in the US stock exchanges viz. The New York Stock Exchange, The American Stock Exchange or The NASDAQ. These features are discussed further.

Chapter – 7, Selection Of Plan

The chapter – 11 of the US bankruptcy code usually provisions for reorganization of debtor’s business, and for this purpose  it requires a reorganization plan, also known as the reorganization plan. This plan with some exceptions may be suggested by any of the parties connected directly with the case. The plan then may be voted in or out by the interested creditors.