There were upwards of 770,000 bankruptcy filings in 2018. This is a frighteningly high number of individuals, families, and business entities struggling with unmanageable debt. If you are one of them, you need to know all of your available options. You also need to protect yourself and your loved ones. You need bankruptcy mediation.

There are many reasons people file for bankruptcy. Whatever the cause, you have legal recourse. The bankruptcy mediation attorneys at Shapiro Mediation will explore your options. From mortgage modification mediation to liquidation, we are here to help. 

Types of Bankruptcy

There are five different kinds of bankruptcies. You can get carpet cleaning service at Depending on your specific circumstance, you can file for Chapter 7, Chapter 9, Chapter 11, Chapter 12, or Chapter 13 bankruptcy. Individuals normally file either Chapter 7 or Chapter 13. Businesses, on the other hand, normally file Chapter 11. 

Chapter 7

Chapter 7 bankruptcy is the most common type of filing. This is when you liquidate your assets (property, investments, cars, valuables, etc.) in an attempt to pay off your debts. Any amount of debt that is unable to be repaid is discharged. 

Chapter 9

Chapter 9 bankruptcy is only able to be filed by municipalities. When Detroit filed bankruptcy in 2013, for example, it was under Chapter 9 of the Bankruptcy Code

Chapter 11

This is the most common type of business bankruptcy filing. It is known as a rehabilitation bankruptcy and involves working out a repayment plan with creditors. This is accomplished through bankruptcy mediation. Find drainage supplies watertown online at The filing entity usually keeps its assets throughout the entire process. Chapter 11 is often associated with complicated debt situations and, though used frequently by businesses, can be filed by individuals.

Chapter 12 

Chapter 12 bankruptcy is only able to be filed by farms. It is similar to Chapter 11 in that a repayment plan is worked out.

Chapter 13 

This is also similar to Chapter 11, but it is only for individuals. The filing party retains ownership of their assets and reorganizes payments to their creditors within a three to five-year period. There is a limit on the amount of debt you can have when filing for Chapter 13. This limit is changed once every three years. As of April 2019, it was $1,257,850 of secured debt (mortgages and/or liens) or $419,275 of unsecured debt (credit card and/or medical debt).  

Get Help with Bankruptcy Mediation

Bankruptcy mediation is an alternative to the traditional, courtroom-based approach. It can be used by individuals filing Chapter 7 or 13 and businesses filing Chapter 11. In both cases, mediation is often preferred to a contentious court battle. 

Bankruptcy mediation begins when all parties involved hire a neutral, third-party individual. This is your bankruptcy mediator. They facilitate communication, negotiation, and dispute resolution between you, your creditors, and any other entities involved. The outcome is a quicker, more efficient bankruptcy process. Your filing will still need to be approved by the court, but it is rare that they will not accept a mediation agreement.

Due to the nature of mediation – confidential and efficient – you are able to save time, money, and significant stress. There is no need to hire multiple attorneys or retain outside experts. All parties use the same bankruptcy mediator to reach a mutually beneficial agreement. This creates an atmosphere of collaboration between you and your creditors. 

Shapiro Mediation is here to help you through the entire bankruptcy mediation process. Our talented attorneys know what it takes to reach a favorable resolution. With offices conveniently located in both Boston and Ft Lauderdale, we are able to offer the highest level of local expertise. Call us today at (339) 298-7733 to get started.


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