Bankruptcy is a legal process through which people or other entities who cannot repay debts to creditors may seek relief from some or all of their debts. In most jurisdictions, bankruptcy is imposed by a court order, often initiated by the debtor.
Chapter 11 of the United States Bankruptcy Code permits reorganization under the bankruptcy laws of the United States. Such reorganization, known as "Chapter 11 bankruptcy", is available to every business, whether organized as a corporation, partnership or sole proprietorship, and to individuals, although it is most prominently used by corporate entities. In contrast, Chapter 7 governs the process of a liquidation bankruptcy, though liquidation may also occur under Chapter 11; while Chapter 13 provides a reorganization process for the majority of private individuals.
Chapter 7 of Title 11 of the United States Code governs the process of liquidation under the bankruptcy laws of the United States, in contrast to Chapters 11 and 13, which govern the process of reorganization of a debtor. Chapter 7 is the most common form of bankruptcy in the United States.
Title 11 of the United States Code sets forth the statutes governing the various types of relief for bankruptcy in the United States. Chapter 13 of the United States Bankruptcy Code provides an individual with the opportunity to propose a plan of reorganization to reorganize their financial affairs while under the bankruptcy court's protection. The purpose of chapter 13 is to enable an individual with a regular source of income to propose a chapter 13 plan that provides for their various classes of creditors. Under chapter 13, the Bankruptcy Court has the power to approve a chapter 13 plan without the approval of creditors as long as it meets the statutory requirements under chapter 13. Chapter 13 plans are usually three to five years in length and may not exceed five years. Chapter 13 is in contrast to the purpose of Chapter 7, which does not provide for a plan of reorganization, but provides for the discharge of certain debt and the liquidation of non-exempt property. A Chapter 13 plan may be looked at as a form of debt consolidation, but a Chapter 13 allows a person to achieve much more than simply consolidating his or her unsecured debt such as credit cards and personal loans. A chapter 13 plan may provide for the four general categories of debt: priority claims, secured claims, priority unsecured claims, and general unsecured claims. Chapter 13 plans are often used to cure arrearages on a mortgage, avoid "underwater" junior mortgages or other liens, pay back taxes over time, or partially repay general unsecured debt. In recent years, some bankruptcy courts have allowed Chapter 13 to be used as a platform to expedite a mortgage modification application.
Trump Entertainment Resorts, Inc. was a gambling and hospitality company. The company previously owned and operated the now-demolished Trump Plaza and Trump World's Fair, the now-closed Trump Marina, Trump Casino & Hotel in Gary, Indiana, Trump 29 in Coachella, California, and Trump Taj Mahal in Atlantic City. It was founded in 1995 as Trump Hotels & Casino Resorts by Donald Trump, who after 2004 held only a minority ownership. The company filed for bankruptcy in 2004, 2009 and 2014. It became a subsidiary of Icahn Enterprises in 2016. Since then, all of the company's properties have been closed and sold.
In the United States, bankruptcy is largely governed by federal law, commonly referred to as the "Bankruptcy Code" ("Code"). The United States Constitution authorizes Congress to enact "uniform Laws on the subject of Bankruptcies throughout the United States". Congress has exercised this authority several times since 1801, including through adoption of the Bankruptcy Reform Act of 1978, as amended, codified in Title 11 of the United States Code and the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 (BAPCPA).
Bradlees Department Store, more commonly known as Bradlees, was a discount department store chain based in Braintree, Massachusetts, which operated primarily in the Northeastern United States. Bradlees sold various retail items in its stores, including clothing, jewelry, health care, beauty products, footwear, furniture, electronics, housewares, and bedding. At its peak in 2000, Bradlees operated over 105 stores in seven states across the Northeast, with close to 10,000 employees. Along with being a part of Stop & Shop from 1961 until 1992, the chain went through Chapter 11 bankruptcy in 2000, with all of its stores eventually closed by March 15, 2001.
Dean & DeLuca is an American chain of upscale grocery stores. The first one was established in New York City's SoHo district by Joel Dean, Giorgio DeLuca and Jack Ceglic in September 1977. They were joined in September 1979 by Eugenio Pozzolini, who became a partner in 1981. It is headquartered in Wichita, Kansas. Since 2014, Dean & Deluca has been owned by Pace Development, a Thai luxury development company.
The Eclipse Aviation Corporation was the Albuquerque, New Mexico, United States-based manufacturer of the Eclipse 500 very light jet (VLJ), and also at one time proposed developing the Eclipse 400 single-engined jet.
The Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 (BAPCPA) is a legislative act that made several significant changes to the United States Bankruptcy Code. Referred to colloquially as the "New Bankruptcy Law", the Act of Congress attempts to, among other things, make it more difficult for some consumers to file bankruptcy under Chapter 7; some of these consumers may instead utilize Chapter 13.
A trustee in bankruptcy is an entity, often an individual, in charge of administering a bankruptcy estate.
The Horsehead Holding Corporation, formerly The New Jersey Zinc Company, was an American producer of zinc and related materials based in Pittsburgh.
Avenue Stores LLC is a specialty retailer in the United States offering plus-size clothing to women who wear larger-size clothing. The company serves a target audience of women aged between 25 and 55 years of age, wearing apparel of size 14 or larger, and also sells shoes and accessories. The group operated 222 stores in 33 states in 2019, all under the name The Avenue.
Environmental Performance Vehicles (EPV), previously DesignLine Corporation, is a manufacturer of coach, electric and range-extended electric (hybrid) buses. It was founded in Ashburton, New Zealand in 1985. Initially it was a manufacturer of tour coaches. In the 1990s it diversified into conventional transit buses and then added hybrid city buses in the late 1990s. It was acquired by American interests in 2006, and DesignLine Corporation's headquarters was relocated to Charlotte, North Carolina. Following a bankruptcy in 2013, the assets of DesignLine were sold and the company was renamed.
New England Motor Freight, Inc. (NEMF) was a unionized less-than-truckload (LTL) and truckload freight carrier, based in Elizabeth, New Jersey. It was one of the largest LTL carriers in the US Northeast when it entered Chapter 11 bankruptcy in 2019 and subsequently shut down all operations in 2020.
Monaco is a recreational vehicle (RV) brand, manufactured in Decatur, Indiana, and wholly owned by REV Recreation Group. Monaco holds a portfolio of Class A diesel motorhomes. REV Recreation Group is a subsidiary of REV Group.
Saladworks, LLC is a restaurant franchise that serves made-to-order entrée salads, wraps, soups, and sandwiches. Saladworks restaurants are categorized as fast casual, and the company markets its menu as a healthy alternative to other fast food fare. The franchise currently operates 110 restaurant locations in 15 states and is developing locations internationally. It continues to develop exclusively through its Multiple Unit Development approach, focusing on development in metropolitan areas throughout the United States. The restaurant chain also has stores in Canada, Dubai and Singapore.
Melinta Therapeutics, founded in 2000 as Rib-X Pharmaceuticals, is an American publicly traded biopharmaceutical firm that focuses on the design and development of novel broad-spectrum antibiotics for the treatment of antibiotic-resistant infections in hospital and community settings. The company is located in New Haven, Connecticut.
The United States Bankruptcy Court for the Southern District of New York is the United States bankruptcy court within the United States District Court for the Southern District of New York. The Southern District of New York is a major venue for bankruptcy, as it has jurisdiction over the corporate headquarters and major financial institutions located in Manhattan.
The Dunes Hotel and Casino was a proposed hotel and casino that was to be built in Atlantic City, New Jersey in the late 1970s. It was initially proposed to consist of 504 hotel rooms and a 34,500 square foot casino located at Albany Avenue on the Boardwalk. It was to be the southernmost hotel/casino on the Boardwalk, adjacent to the Golden Nugget Hotel & Casino. Due to financial and legal difficulties, the hotel was never completed and a casino license was never issued.
