The following are recent bankruptcy filings in U.S. District Court in Baltimore.
Columbia Elevator Inc., 11792 Love Tree Court, Columbia. Manufacturer and maintenance firm for elevator equipment has filed for Chapter 11. Principal: Richard C. Wills. Assets: $114,050. Liabilities: $364,632.
L & M Excavating Inc., P.O. Box 440, Glen Arm. Residential excavating and commercial grading firm has filed for Chapter 7. Principal: Lanny L. Kelly. Assets: $12,819. Liabilities: $22,126.
Maryland Division IV Enterprises Inc., 501 Stewart Ave., Glen Burnie. Masonry contractor has filed for Chapter 11. Principal: Ronald B. Hook. Assets: $500,000. Liabilities: $364,007
The following are the most common types of filings under the U.S. Bankruptcy Code.
CHAPTER 7 -- Liquidation. A trustee is appointed to take charge of all the debtor's property, except for certain exceptions allowed in the law. The trustee will sell the remaining property for the benefit of creditors, and unless a creditor objects and is upheld by the court, the debt will be discharged in whole or in part.
CHAPTER 11 -- Reorganization. Available to all individuals or businesses, this chapter is primarily intended to allow an ongoing business to restructure its debt. A successful reorganization depends on filing a plan and obtaining its approval by creditors and the court.
CHAPTER 13 -- Adjustment of debts of an individual with regular income. This chapter provides a method for individual debtors to repay creditors, in full or in part, over a period of up to five years. It ordinarily involves less than $100,000 in unsecured debt and $350,000 in secured debt.