Bankruptcy in Nevada
At Black & LoBello, our Restructuring and Insolvency Department advances and protects our clients’ rights through the complex world of bankruptcy litigation, liquidation or restructuring. We understand the process from both sides and are equally equipped to enforce creditor’s claims or protect a debtor’s assets. Our bankruptcy team combines industry experience, litigation and creative problem-solving skills to efficiently and effectively further our clients’ objectives. Our expansive knowledge of how debtor-creditor issues affect day-to-day business operations and long-term viability is one of the hallmarks of the Black & LoBello advantage. In contrast with litigation in other contexts, bankruptcy litigation moves at lightning-fast speed, requiring substantial pre-planning and implementation of safeguard/exit strategies before and immediately after the case filing. Major disputes can be litigated on day one or within weeks of the bankruptcy filing, often involving complex transactions for which the parties have limited due diligence and discovery time. As a result, courts often immediately address and issue orders concerning major issues (e.g. use of cash collateral, debtor-in-possession financing, employee retention and compensation, assumption and rejection of unexpired leases and contracts, and payment of priority creditors or critical vendors) that significantly impact claims, viable assets and the potential for reorganization. Our bankruptcy litigators are prepared. We know and understand the intricacies of the Bankruptcy Code and the nuances of local practice. We have the skills and experience to quickly comprehend and analyze new businesses and industries. We are sensitive to the expense, reputational harm and other collateral concerns that even successful litigation may produce. Our goal is not to litigate for the sake of litigation, but employ the litigation process aggressively and efficiently when necessary to meet our clients’ goals.
There are six types of bankruptcy under the Bankruptcy Code:
- Chapter 7: Basic liquidation for individuals and businesses;
- Chapter 9: Municipal bankruptcy;
- Chapter 11: Rehabilitation or reorganization, used primarily by business debtors, but sometimes by individuals with substantial debts and assets;
- Chapter 12: Rehabilitation for family farmers and fishermen;
- Chapter 13: Rehabilitation with a payment plan for individuals with a regular source of income;
- Chapter 15: Ancillary and other international cases.
The most common types of personal bankruptcy for individuals are Chapter 7 and Chapter 13. Corporations and other business entities file under Chapters 7 or 11.