It is a common misconception that only businesses can file for chapter 11 bankruptcy. In fact,individuals can file for chapter 11 bankruptcy too. Chapter 11, like chapter 13, provides are organization process for individuals. Individual chapter 11 cases are relatively uncommon and highly complex. The attorneys at Kasen & Kasen, P.C. have the unique distinction of regularly and successfully representing debtors in individual chapter 11 bankruptcy cases.
Why File an Individual Chapter 11 Case? The most common reason an individual might file for chapter 11 bankruptcy, as opposed to chapter 13, it that chapter 11 does not have any debt limitation eligibility requirements, whereas, chapter 13 does. Specifically, in order to be a chapter 13 debtor an individual must have less than $394,725.00 in unsecured debts and less than$1,184,200.00 in secured debts. * Chapter 11 has no such limitation.
* Note - this debt limitation is adjusted every three years to reflect changes in the Consumer Price Index