Personal Vs. Corporate Bankruptcy
Author: Robbi Gunter
Similar to an LLC, when corporations liquidate under chapter 7 of the U.S. bankruptcy law, it includes only the business assets. The owner is totally exempt from personal liability in regards to any corporate debt, excluding the loss of value of any shares. Creditors are repaid from the proceeds of liquidation. Before equity receives anything, debts must be paid in full.
Chapter 11 of the U.S. bankruptcy law states that all assets are kept by any organization that reorganizes and continues operation, while most creditors receive partial payment. Investment decisions become less efficient in reorganization because equity over-invests in risky projects
In corporate bankruptcy the goal is to obtain enough repayment to creditors that lenders will continue to lend, at least to other borrowers. Inefficient investment decisions made by equity managers in prioritizing decisions, limit the company’s return. Filtering failure is a result of inefficient bankruptcy decisions. Both of these factors are influential to creditors, which may cause them to raise interest rates or reduce the amounts they are willing to lend, depending on whether the company’s return is lowered by inefficient decisions.
Sometimes a corporation is financially solvent, yet strategically defaults on their debt. When the firm is successful, owners repay. They default if the firm fails, with filtering failure and inefficient liquidation.
Slavery is no longer used as a penalty for personal bankruptcy, so individuals can only reorganize, even though it is most commonly referred to as liquidation. When individuals claim bankruptcy, their personal assets are liquidated in order to repay any debt and their assets are divided among the creditors. There is a limit to the amount of assets that debtors must use to repay. Debtors can keep a certain amount of financial wealth and post bankruptcy earnings. “Fresh start” refers to 100% exemptions for post-bankruptcy earnings, limiting the debtor’s obligation to repay. Most unsecured debts are discharged. In personal bankruptcy, debtors can get partial consumptions insurance. Prior to filing for personal bankruptcy, debtors can convert non-exempt assets as bank accounts into home equity. Wealth for debtors who are homeowners are protected by high homestead exemptions.
Article Source: http://www.articlesbase.com/small-business-articles/personal-vs-corporate-bankruptcy-216499.html
About the Author
Robbi Gunter is a staff writer for Strong Business Credit – a free educational web resource for small business owners needing business loans and business credit cards.
Is anybody else fed up of these useless congressmen and senators that we have right now ? see article belo?
Dobbs: Five-weeks off for ‘do-nothing Congress’
By Lou Dobbs
CNNNEW YORK (CNN) — This Republican-led, do-nothing Congress is on its way home for a five-week vacation. I’m sure while there, they’ll be glad to explain to their constituents why they need so much rest in a year in which they will work fewer than 80 days.
The Republicans in Congress have little to brag about when they return home. And the Democrats have a lot of explaining to do, as well. Once the party of the New Deal, Fair Deal and Great Society, the party of working men and women, the Democrats are now buried as deeply in the pockets of their corporate masters as are the Republicans.
The Democratic Party has played a major role in helping to pass legislation that is grossly injurious to middle-class Americans and their families. This Congress, Republican-led with complicit Democrats, has cut $13 billion in college-student aid, passed numerous free-trade agreements that threaten good-paying jobs and approved an unconscionable bankruptcy law written by credit-card companies that is nothing less than a federal government heel in the neck of American families bankrupted by catastrophic illness and crushing medical bills.
In fact, 18 of the 44 Democrats in the Senate and 73 of the 201 Democrats in the House voted in favor of the creditor-friendly bankruptcy bill. They apparently either didn’t bother to learn or didn’t care that half of all bankruptcies are caused by the soaring medical bills that stem from unforeseen illnesses and injuries.
The Democrats are also casting deciding votes on the so-called free-trade agreements that have allowed corporate supremacists to export American jobs to the cheapest sources of labor. Twenty-two House Democrats approved the recent Oman free-trade agreement, including 10 that had previously voted for the Central American Free Trade Agreement. CAFTA, which passed the House by only two votes at the midnight hour, opened up to American businesses a market about the size of New Haven, Connecticut.
And Democrats in the Senate have embraced the wrongheaded policies of the Bush administration on border security and illegal immigration. Thirty-eight Democrats joined with the Senate Republican leadership to crush the Republican majority and pass the illegal-alien amnesty bill.
Forty-two Democrats voted against legislation that would have built a border fence to stop the flow of illegal aliens and drugs across our borders. In fact, it was Democrat Christopher Dodd of Connecticut whose amendment was attached to the legislation that would require the U.S. government to consult with the Mexican government before building a fence along our southern border.
Congressional Democrats are even more dismissive of the need for border security than the Senate Republicans. House Republicans have taken to calling the McCain-Kennedy amnesty bill the “Reid-Kennedy bill” because Minority Leader Harry Reid of Nevada and Sen. Ted Kennedy of Massachusetts shaped most of the legislation.
The Democrats incredibly talk about illegal aliens as victims as they press for amnesty, yet not one has raised concerns for the true victims of corporate America’s lust for cheap labor: American working men and women, taxpayers all.
It was, after all, Sen. Reid who argued in 1993 that illegal aliens place “tremendous burdens” on this country’s justice system, schools and social programs, stretching our federal wallet to the limit as a result of “illegal aliens getting welfare, food stamps, medical care and other benefits.”
What could possibly explain Sen. Reid’s complete conversion on the issue? He’s said it was from talking to his wife and immigrants, but could his state’s wholesale importation of illegal aliens and the importance of all that corporate lobbying and campaign contribution money be a factor? Surely not.
And how about that firebrand advocate for the Democratic Party’s traditions and values, Democratic National Committee Chairman Howard Dean? Once considered a presidential candidate with a refreshing vision for America, Dean now spends no time pursuing ideas and proposals that would help working men and women. Instead, he’s devoting his time and energy begging for money at the same contribution slop trough as his opponents while hurling insults at Republicans and indulging in petty name-calling.
Instead of articulating a vision and plan to help the United States win the war in Iraq, he said simply late last year, “The idea that the United States is going to win the war in Iraq is just plain wrong.” And when Iraqi Prime Minister Nouri al-Maliki was to address a joint session of Congress, Dean called him an anti-Semite for criticizing Israel. The petulant DNC chairman outdid himself by comparing an inconsequential Republican congresswoman, Katherine Harris of Florida, to the rather consequential Joseph Stalin. The incomparable Howard Dean managed to do that while calling for an end to political divisiveness.
The Democrats want to wrest control of Congress from Republicans, and they have a better than average opportunity to accomplish the feat. The next five weeks just might be a good time for frustrated, disgusted constituents to ask what it will take to elect a Congress willing to represent working men and women and their families.
And let me know what you hear.
When WILL THE AMERICAN PEOPLE TAKE BACK THEIR REPUBLIC FROM THE CONTROL OF US CORPORATE GOVERNMENT?
DUN & BRADSTREET listings of government units, offices, agencies, and instrumentalities. No doubt about the search results regarding the complete ‘federalization’ or ‘corporatization’ of the purported ‘government’. Nothing about the “United States” or “UNITED STATES” is as it appears or is commonly presumed to be. It is a ‘de facto’ ‘doctrine of necessity’ by ‘occupation’ in ‘bankruptcy’ operating for the benefit of undisclosed third-party Principals who also allege to be Holders in Due Course as “Prime Creditors”. Lawful government was deconstructed when after the Civil War the states and the ten southern states were ‘Reconstructed’ during and within the Reconstruction Acts.
The current form of ‘government’ has nothing to do with lawful ‘government’ or ‘governance’ of/by/for the people or the de jure union of several American states. Every aspect of the idea of ‘government’ has been incorporated and operates as an implied ‘resultant’ equity constructive TRUST and commercial franchise of the UNITED STATES, having no fixed or pre-determined rules to run by, because the organic rules operated ‘without the United States’-District of Columbia, ‘within the United States of America’, which is a diverse and distinctly different entity at law in commerce.
This subject can be elaborated ad nauseam, but the gist is what you may have already summarized and concluded. How can a corporate executive of a non-Constitutional entity be held accountable to his actions under a Constitutional standard, where there is no one in any aspect of the same CORPORATION that has authority to do so? Furthermore, the CORPORATION itself has no nexus to the Organic Constitution for the United States of America, where exist the only mechanisms and constructs for ‘lawful government’ and protections of un/in-a-lien-able Rights under the Bill of Rights. The CORPORATION is itself an abomination. The Federal Convention 1787, September 14. The state delegates voted on the motion to delegate authority to Congress to incorporate or to grant charters of incorporation, and it was explicitly rejected.
(BELOW IS THE BEGAINING OF ALL THE US GOVERNMENT AGENCIES LISTED ON DUN AND BRADSTREET)
< PreviousShowing 1 of 1Sort by:
Next >
HQEXECUTIVE OFFICE OF THE PRESIDENT EXECUTIVE OFFICE OF THE PRESIDENT
1600 PENNSYLVANIA AVE NW, WASHINGTON, DC
HQOFFICE OF NATIONAL DRUG CONTROL POLICY OFFICE OF NATIONAL DRUG CONTROL POLICY
Also Traded as EXECUTIVE OFFICE OF THE PRESIDENT750 17TH ST NW, WASHINGTON, DC
HQSCIENCE AND TECHNOLOGY POLICY, OFFICE OF SCIENCE AND TECHNOLOGY POLICY, OFFICE OF
OLD EXECUTIVE OFFICE BLDG, RM 431, WASHINGTON, DC
BREXECUTIVE OFFICE OF THE PRESIDENT EXECUTIVE OFFICE OF THE PRESIDENT
725 17TH ST NW RM 4208, WASHINGTON, DC
BREXECUTIVE OFFICE OF THE PRESIDENT EXECUTIVE OFFICE OF THE PRESIDENT
725 17TH ST NW, WASHINGTON, DC
BREXECUTIVE OFFICE OF THE PRESIDENT EXECUTIVE OFFICE OF THE PRESIDENT
1724 F ST NW, WASHINGTON, DC
BREXECUTIVE OFFICE OF THE PRESIDENT EXECUTIVE OFFICE OF THE PRESIDENT
1700 PENNSYLVANIA AVE NW, RM 100 EEOB, WASHINGTON, DC
HQEXECUTIVE OFFICE OF THE UNITED STATES GOVERNMENT EXECUTIVE OFFICE OF THE UNITED STATES GOVERNMENT
1600 PENNSYLVANIA AVE NW, WASHINGTON, DC
HQCONSOLIDATED EXECUTIVE OFFICE CONSOLIDATED EXECUTIVE OFFICE
950 PENNSYLVANIA AVE NW, WASHINGTON, DC
HQTRUSTEES, EXECUTIVE OFFICE FOR THE US TRUSTEES, EXECUTIVE OFFICE FOR THE US
20 MASSACHUSETTS AVE, WASHINGTON, DC
HQATTORNEYS, EXECUTIVE OFFICE FOR UNITED STATES ATTORNEYS, EXECUTIVE OFFICE FOR UNITED STATES
600 E STREET NW STE 8302, WASHINGTON, DC
BREXECUTIVE OFFICE OF THE STATE OF WASHINGTON EXECUTIVE OFFICE OF THE STATE OF WASHINGTON
444 N CAPITOL ST NW, WASHINGTON, DC
BREXECUTIVE OFFICE OF THE STATE OF INDIANA EXECUTIVE OFFICE OF THE STATE OF INDIANA
1455 PENNSYLVANIA AVE NW STE 1140, WASHINGTON, DC
BREXECUTIVE OFFICE OF THE STATE OF IDAHO EXECUTIVE OFFICE OF THE STATE OF IDAHO
444 N CAPITOL ST NW STE 216, WASHINGTON, DC
BREXECUTIVE OFFICE OF THE STATE OF UTAH EXECUTIVE OFFICE OF THE STATE OF UTAH
444 N CAPITOL ST NW, WASHINGTON, DC
BREXECUTIVE OFFICE OF THE GOVERNOR OF DELAWARE EXECUTIVE OFFICE OF THE GOVERNOR OF DELAWARE
444 N CAPITOL CITY STE 230, WASHINGTON, DC
BREXECUTIVE OFFICE OF THE STATE OF CALIFORNIA EXECUTIVE OFFICE OF THE STATE OF CALIFORNIA
444 N CAPITOL ST NW # 134, WASHINGTON, DC
BREXECUTIVE OFFICE OF THE STATE OF NORTH CAROLINA EXECUTIVE OFFICE OF THE STATE OF NORTH CAROLINA
444 N CAPITOL ST NW STE 332, WASHINGTON, DC
BREXECUTIVE OFFICE OF THE COMMONWEALTH OF KENTUCKY EXECUTIVE OFFICE OF THE COMMONWEALTH OF KENTUCKY
444 N CAPITOL ST NW STE 224, WASHINGTON, DC
BREXECUTIVE OFFICE OF THE UNITED STATES GOVERNMENT EXECUTIVE OFFICE OF THE UNITED STATES GOVERNMEN
Dun and Bradstreet is not a world wide recognized reporting agencies according to an educated person !!!
When WILL THE AMERICAN PEOPLE TAKE BACK THEIR REPUBLIC FROM THE CONTROL OF US CORPORATE GOVERNMENT?
DUN & BRADSTREET listings of government units, offices, agencies, and instrumentalities. No doubt about the search results regarding the complete ‘federalization’ or ‘corporatization’ of the purported ‘government’. Nothing about the “United States” or “UNITED STATES” is as it appears or is commonly presumed to be. It is a ‘de facto’ ‘doctrine of necessity’ by ‘occupation’ in ‘bankruptcy’ operating for the benefit of undisclosed third-party Principals who also allege to be Holders in Due Course as “Prime Creditors”. Lawful government was deconstructed when after the Civil War the states and the ten southern states were ‘Reconstructed’ during and within the Reconstruction Acts.
The current form of ‘government’ has nothing to do with lawful ‘government’ or ‘governance’ of/by/for the people or the de jure union of several American states. Every aspect of the idea of ‘government’ has been incorporated and operates as an implied ‘resultant’ equity constructive TRUST and commercial franchise of the UNITED STATES, having no fixed or pre-determined rules to run by, because the organic rules operated ‘without the United States’-District of Columbia, ‘within the United States of America’, which is a diverse and distinctly different entity at law in commerce.
This subject can be elaborated ad nauseam, but the gist is what you may have already summarized and concluded. How can a corporate executive of a non-Constitutional entity be held accountable to his actions under a Constitutional standard, where there is no one in any aspect of the same CORPORATION that has authority to do so? Furthermore, the CORPORATION itself has no nexus to the Organic Constitution for the United States of America, where exist the only mechanisms and constructs for ‘lawful government’ and protections of un/in-a-lien-able Rights under the Bill of Rights. The CORPORATION is itself an abomination. The Federal Convention 1787, September 14. The state delegates voted on the motion to delegate authority to Congress to incorporate or to grant charters of incorporation, and it was explicitly rejected.
(BELOW IS THE BEGAINING OF ALL THE US GOVERNMENT AGENCIES LISTED ON DUN AND BRADSTREET)
< PreviousShowing 1 of 1Sort by:
Next >
HQEXECUTIVE OFFICE OF THE PRESIDENT EXECUTIVE OFFICE OF THE PRESIDENT
1600 PENNSYLVANIA AVE NW, WASHINGTON, DC
HQOFFICE OF NATIONAL DRUG CONTROL POLICY OFFICE OF NATIONAL DRUG CONTROL POLICY
Also Traded as EXECUTIVE OFFICE OF THE PRESIDENT750 17TH ST NW, WASHINGTON, DC
HQSCIENCE AND TECHNOLOGY POLICY, OFFICE OF SCIENCE AND TECHNOLOGY POLICY, OFFICE OF
OLD EXECUTIVE OFFICE BLDG, RM 431, WASHINGTON, DC
BREXECUTIVE OFFICE OF THE PRESIDENT EXECUTIVE OFFICE OF THE PRESIDENT
725 17TH ST NW RM 4208, WASHINGTON, DC
BREXECUTIVE OFFICE OF THE PRESIDENT EXECUTIVE OFFICE OF THE PRESIDENT
725 17TH ST NW, WASHINGTON, DC
BREXECUTIVE OFFICE OF THE PRESIDENT EXECUTIVE OFFICE OF THE PRESIDENT
1724 F ST NW, WASHINGTON, DC
BREXECUTIVE OFFICE OF THE PRESIDENT EXECUTIVE OFFICE OF THE PRESIDENT
1700 PENNSYLVANIA AVE NW, RM 100 EEOB, WASHINGTON, DC
HQEXECUTIVE OFFICE OF THE UNITED STATES GOVERNMENT EXECUTIVE OFFICE OF THE UNITED STATES GOVERNMENT
1600 PENNSYLVANIA AVE NW, WASHINGTON, DC
HQCONSOLIDATED EXECUTIVE OFFICE CONSOLIDATED EXECUTIVE OFFICE
950 PENNSYLVANIA AVE NW, WASHINGTON, DC
HQTRUSTEES, EXECUTIVE OFFICE FOR THE US TRUSTEES, EXECUTIVE OFFICE FOR THE US
20 MASSACHUSETTS AVE, WASHINGTON, DC
HQATTORNEYS, EXECUTIVE OFFICE FOR UNITED STATES ATTORNEYS, EXECUTIVE OFFICE FOR UNITED STATES
600 E STREET NW STE 8302, WASHINGTON, DC
BREXECUTIVE OFFICE OF THE STATE OF WASHINGTON EXECUTIVE OFFICE OF THE STATE OF WASHINGTON
444 N CAPITOL ST NW, WASHINGTON, DC
BREXECUTIVE OFFICE OF THE STATE OF INDIANA EXECUTIVE OFFICE OF THE STATE OF INDIANA
1455 PENNSYLVANIA AVE NW STE 1140, WASHINGTON, DC
BREXECUTIVE OFFICE OF THE STATE OF IDAHO EXECUTIVE OFFICE OF THE STATE OF IDAHO
444 N CAPITOL ST NW STE 216, WASHINGTON, DC
BREXECUTIVE OFFICE OF THE STATE OF UTAH EXECUTIVE OFFICE OF THE STATE OF UTAH
444 N CAPITOL ST NW, WASHINGTON, DC
BREXECUTIVE OFFICE OF THE GOVERNOR OF DELAWARE EXECUTIVE OFFICE OF THE GOVERNOR OF DELAWARE
444 N CAPITOL CITY STE 230, WASHINGTON, DC
BREXECUTIVE OFFICE OF THE STATE OF CALIFORNIA EXECUTIVE OFFICE OF THE STATE OF CALIFORNIA
444 N CAPITOL ST NW # 134, WASHINGTON, DC
BREXECUTIVE OFFICE OF THE STATE OF NORTH CAROLINA EXECUTIVE OFFICE OF THE STATE OF NORTH CAROLINA
444 N CAPITOL ST NW STE 332, WASHINGTON, DC
BREXECUTIVE OFFICE OF THE COMMONWEALTH OF KENTUCKY EXECUTIVE OFFICE OF THE COMMONWEALTH OF KENTUCKY
444 N CAPITOL ST NW STE 224, WASHINGTON, DC
BREXECUTIVE OFFICE OF THE UNITED STATES GOVERNMENT EXECUTIVE OFFICE OF THE UNITED STATES GOVERNMEN
chad p – I will leave bombing to the Corporate US Government
Organic equaling flesh and blood.
This also should wake people up to the realization of how the 10th amendment of the constitution is so easily bypassed when it comes to certain MUNICIPALITIES and STATES(Notice the capitalization) wanting to sign in to agreements with foreign countries.(Which are, as well, INCORPORATED under MOST instances. Told you the answers were staring you right in the face. Nothing is hidden.
If tje ppl could ever gain control of the monetary system once again. Then maybe things would begin to change for the better. Though this will take time. The rebuilding will not happen overnight. But once it begins…..It would be Grand. The people also need to know that they too already have PERSONAL CORPORATE ENTITIES. Why? Because a CORPORATION “cannot” do business with a flesh and blood human being.
Hence the use of LEGAL TENDER. FOR ALL DEBTS PUBLIC AND PRIVATE. PRIVATE? Well…… They just neglected to mention in the above statement that under our current monetary(i.e. also LEGAL) system that PUBLIC and PRIVATE both stand for CORPORATE as well. But they did spell it out in the CAPITALIZATION pf the phrase itself.(Hence, pay attention to the small, but truly very large, details.) It’s also another reason they want AMNESTY so bad for the ILLEGAL immigrants already here. It’s not out of compassion. It’s so they have more COLLATERAL ASSETS to borrow against from the FEDERAL RESERVE. Inprisonment of a flesh and blood human being. Or rather………………caught in the WEB of truly SOCIALISTIC control. Don’t worry the SPIDER is right there waiting to drink YOU and EVERYONE else around YOU dry.
All in the name of the FEDERAL RESERVE NOTE.
I just finished reading the Dobb’s article myself (Long Live Lou!!) and was about to post the same question here myself. I’m glad I did a search first and saw yours.
My only feeling at this time is that the American people have to decide to “clean house” and clear the slate. What this means for myself and my husband is we have decided that we will not vote for any incumbent politico running for re-election, be it Democrat or Republican. Both parties have made a supreme mess of everything here in America and abroad. Why should they be rewarded (by being re-elected) for a job NOT well done?
I’m personally disgusted with both parties (if you can call them separate) as neither actually represents the philosophies the party says they hold true.
I’ll be looking for more Independent and Libertarian candidates to vote for each election day, week, year, etc.
99% of Americans just don’t get it. They believe they elect people into office, that taxes are a necessary evil – with the emphasis on “necessary”, that the Federal Reserve is a part of the government and that we fight wars to win freedom for others. I could go on and on, but you get the picture. Nothing is as it seems. The illusion is near perfect. By the time Americans realize they’re slaves on the plantation it’ll be too late.