West Palm Beach Non-Bankruptcy Workout Attorney
If you are facing serious financial difficulties, you may be ready to explore seeking bankruptcy protection. In certain circumstances, declaring bankruptcy — whether it is Chapter 7, Chapter 11, or Chapter 13 — may be the best available option. However, that is certainly not always the case. In fact, in many cases, reaching a non-bankruptcy ‘workout’ with creditors offers a number of different advantages.
At the Law Offices of Kelley Kaplan & Eller, our West Palm Beach bankruptcy attorneys offer a personalized, results-focused approach to every case. We represent debtors in non-bankruptcy workouts. Our legal team is committed to helping our clients explore every available avenue to financial stability. To learn more about your legal rights and your legal options, please do not hesitate to contact our law firm for a strictly confidential legal consultation.
What is a Non-Bankruptcy Workout?
Non-bankruptcy workout is a formalized, mutual agreement made between a creditor(s) and a financially distressed borrower. Through negotiation, debtors and creditors may be able to work out a settlement that is outside of the traditional bankruptcy process.
The terms of a non-bankruptcy workout will always depend on the specific nature of each claim. In some cases, workouts will change the composition of the debts. For example, a creditor may agree to accept partial payment to settle the full debt if the borrower avoids declaring bankruptcy. In other cases, a financially distressed borrower may be offered extended payment terms that better fit in with their current financial situation. In many non-bankruptcy workout cases, some combination of a reduction in debts and modification of payment terms are agreed upon.
The Benefits of Workout
For distressed borrowers and consumers, an out-of-court bankruptcy workout offers a number of benefits. Notably, it allows the borrower to avoid the stigma of having a bankruptcy filing on the record — while still helping them move into a financially stable position.
Non-Bankruptcy Workouts are Voluntary Agreements
Under state and federal law, creditors are not required to offer a workout or to accept the terms of a proposed settlement. For this and other reasons, borrowers seeking a workout should always obtain professional legal guidance. If you are considering negotiating a workout in your case, it is imperative that you consult with an experienced Florida bankruptcy lawyer. Not only will your attorney be able to take action to get the creditors to the table, but your attorney can also ensure that you get the best terms on your bankruptcy workout.
Get Help From Our West Palm Beach Non-Bankruptcy Workout Attorneys
At Law Offices of Kelley Kaplan & Eller, our West Palm Beach bankruptcy attorneys always help our clients explore every available option and remedy, including non-bankruptcy workouts. To get a fully private review of your case, please contact our law firm today. With an office in West Palm Beach, we represent clients throughout South Florida, including in Palm Beach Gardens, Boynton Beach, Boca Raton, Delray Beach, Jupiter, and Pompano Beach.
