What Is an Involuntary Bankruptcy?

Involuntary bankruptcies are quite rare. When they are filed, they typically involve a business, not an individual. An involuntary bankruptcy is filed by a creditor against a debtor who has not been making payments, yet does have the means to pay the debt. This is why businesses are usually the target of involuntary bankruptcies, since individuals with significant debts usually don’t have sufficient assets. When an individual is the target, he or she is usually wealthy, with both substantial assets and significant debts.

If you have received notice of an involuntary bankruptcy filing, you must consult a lawyer immediately. You only have 20 days to respond to the petition. If you do not respond, the bankruptcy will move forward. By hiring a bankruptcy lawyer, you stand a better chance of having the petition dismissed by the judge.

For the legal representation you need and the personalized service you deserve, contact the law firm of Cutler & Associates, Ltd. at (847) 961-4572.