Businesses come and go. Those of us who live in large cities are often witness to the comings and goings of various restaurants and boutique clothing stores. The life and death cycle of these establishments is such a constant that we almost do not even notice it. However, when an industry giant goes belly up, it is rather noticeable. If the small businesses are like wildflowers, institutions like Sears are great oaks. When they fall or burn, we feel it. One such oak is currently falling in Cook County, Illinois.
Strack & Van Til, the parent company of Central Grocers, amassed roughly $225 million dollars’ worth of debts in recent years, and has filed for bankruptcy. Strack wanted to keep the proceedings in Delaware where they are incorporated. Their creditors filed a successful motion to forcibly try their bankruptcy in Illinois where Central Grocers is located. This way the court has the authority to divvy up the company’s assets and the creditors stand a greater chance of recouping their losses.
Filing for Bankruptcy
As we have seen above, creditors are wily. They want their money, and they often have no qualms about harassing, chasing, and generally making the lives of their debtors miserable. There are some debts that can never be erased in bankruptcy courts. These include:
- Child support
- Certain fines
- Student loans (unless undue hardship is found by the court)
- Loans gotten through willful falsehoods
- Debts from “willful and malicious” harm
- Debts not listed on the bankruptcy petition
- Mortgages and other liens not paid in the bankruptcy case
In addition to the above concerns it takes the guidance of counsel to determine which chapter of bankruptcy will best suit your needs. In addition, there are concerns with property in the various chapters of bankruptcy and what you can/cannot claim is exempt in any given situation.
We can Help
Being buried under an avalanche of debt is one of the worst situations a person can endure. Many times, the crisis of financial hardship has a domino effect. Missing one payment can lead to missing even more. This in turn leads to a dip in one’s credit score. Collectors begin to call, and then the real stress sets in. The prison walls of financial debt begin to form around you, and it feels like there is no escape. We can help free you from this prison. Once you file for bankruptcy, creditors are forbidden to call and harass you. Our experienced bankruptcy attorneys are standing by 24 hours a day, seven days a week. Contact the attorneys at Newland & Newland, LLP today to schedule a consultation and let us ensure your rights are protected. We serve clients in the Arlington Heights, Palatine, Rolling Meadows, Libertyville, Mundelein, Buffalo Grove, Schaumburg, Elk Grove, and Itasca.
(image courtesy of Sydney Rae)