Pelley Law Office LLP
Dallas Office
Plano Office
Sherman Office
214-733-1775
972-608-0335
903-813-4778

No Charge For Initial Consultation ($250 value)

Menu Contact

Over 80 Years Of Combined Experience

View Our Practice Areas

Small Business Debtor Cases

The purpose of the creation of the small business case was to reduce delay and cost in uncomplicated business reorganization cases according to a case out of Colorado back in 1995.  Whether the purpose of the small business amendments has been met has been much debated, and generally because the election for a small business case was rare.


There have been some limits on what qualifies under the Bankruptcy Code as a small business case.  First of all, the code has defined the term to be a person engaged in commercial or business activities, excluding the business of owning or operating real property or activities related thereto as the primary business activity, that has total non-contingent liquidated secured and unsecured non-affiliated debt which does not exceed $2,190,000.

The Bankruptcy Code provides that a debtor who qualifies as a small business debtor shall state in the petition whether or not it is a small business debtor.  It should be noted that if the schedules filed in a case support that the debtor meets the criteria to be a small business debtor, then the debtor must check the box on the petition stating such for Chapter 11 purposes.

No Comments

Leave a comment
Comment Information

Awards & Recognition

Bold labels are required.

Contact Information
disclaimer.

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.

close

Privacy Policy

Office Locations

Plano office
Sherman office
Dallas office

Plano Office
1312 14th Street, Suite 100
Plano, Texas 75074

Phone: 972-608-0335
Map & Directions

Sherman Office
905 North Travis Street
Sherman, Texas 75090

Phone: 903-813-4778
Map & Directions

Dallas Office
6060 North Central Expressway, Suite 602
Dallas, Texas 75206

Phone: 214-733-1775
Map & Directions