Bankruptcy for Corp chapter 11 or 7 difference?Can you apply 7 and change to 11?Trying to sell a property how is that affected?

Asked about 1 year ago - Denver, CO

I am a Colorado corp, small business, and with economy my business is closed at moment. I have only a few debts of a few thousand dollars; but have a house which would like to keep owned by the corp , or sell. The payments are with a high interest loan and behind on payments and they are not giving notice and found out they are trying to auction without notice of any kind in a few days, for all I know they may have auctioned it and then what? Would bankruptcy help if they did not file the deed yet? Can I make a plan to keep this house and modify high interest hard money loan or what is the best angle here? Can I file a 7 emergency with limited paper and less cost and then change to 11 if need? If 7 can I sell to the person I want? Any help on this hard money loan at 16% claiming now 31%?

Attorney answers (4)

  1. Christopher Daniel Leroi

    Contributor Level 20


    Lawyers agree

    Answered . You really need to sit down with a bankruptcy attorney for a consultation. You have so many questions and so many different avenues to pursue that it simply can't be answered on this site.

    The information provided in this answer does not create an attorney-client relationship. If you are interested in... more
  2. Deborah F Bowinski

    Contributor Level 17


    Lawyers agree

    Answered . Your situation is actually quite complex and you really need personalized legal advice. How is the property titled? Who is obligated in the mortgage loan? Is there equity in te property? Is it your home? Does your business own any assets? Do you own any assets? Do you have by income? How many are in your household? How so you know if the schedules foreclosure sale if you really did not receive any notice?

    And those are the questions I have after only 20 seconds of thought.

    Do yourself a HUGE favor and sit down with. Bankruptcy attorney to evaluate your situation and see what options may be available. And do it immediately, since once the foreclosure sale takes place you no longer have any ability to try to save the property.

  3. Daniel Nelson Deasy

    Contributor Level 20


    Lawyers agree

    Answered . I will be the third attorney to tell you your case cannot be solved on a message board!! Sit down with an experienced bankruptcy attorney pronto.

    In no way am I offering you legal advice, and in no way has my comment created an attorney-client relationship.... more
  4. Peter J W Brackney


    Contributor Level 4


    Lawyers agree

    Answered . My experience is that short form or emergency filings can add additional cost, headache, and room for error. When dealing with any bankruptcy, particularly complex business matters, you do not want to unnecessarily add more of this to the mix. It sounds like time is of the essense, so you should meet with an experienced business bankruptcy attorney in Colorado sooner rather than later.

    I AM NOT YOUR LAWYER. Please read the following: DISCLAIMER: The foregoing information is general in nature and... more

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