Minnesota Franchise Regulatory Considerations – Scor (Small Corporate Offering Registration)

Minnesota Franchise Regulatory Considerations – Scor (Small Corporate Offering Registration)

SCOR: Access to Capital for Small Businesses Increased Access to Capital A SCOR offering is a tool for small businesses to raise capital without the prohibitive costs involved in traditional stock offerings. Regulatory Relief and Streamlining Because the offering is registered solely with the state, multiple reporting requirements are eliminated. In addition, the enhanced form…

Minnesota Franchise Regulatory Considerations – Federal Exemptions

Minnesota Franchise Regulatory Considerations – Federal Exemptions

Federal Exemptions (15 United States Code § 77) Small Offerings – Regulation A Regulation A (17 Code of Federal Regulations § 230.251 to § 230.262) permits the offering of up to $5 million of securities in a year without complying with all registration and disclosure requirements. If the Regulation A exemption is available, a shorter…

Bankruptcy Courts: Litigation and Appeals

Bankruptcy Courts: Litigation and Appeals

Each of the 94 federal judicial districts handles bankruptcy matters, and in almost all districts, bankruptcy cases are filed in the bankruptcy court. Bankruptcy cases cannot be filed in state court. Types of Bankruptcy Cases Each bankruptcy court hears a variety of bankruptcy cases. Debtors applying to the bankruptcy courts for financial relief may seek…

Overview of the Bankruptcy Court Process in Minnesota: Courts, Trustee, and Relief

Overview of the Bankruptcy Court Process in Minnesota: Courts, Trustee, and Relief

The procedural aspects of the bankruptcy process are governed by the Federal Rules of Bankruptcy Procedure (often called the “Bankruptcy Rules”) and local rules of each bankruptcy court. The Bankruptcy Rules contain a set of official forms for use in bankruptcy cases. The Bankruptcy Code and Bankruptcy Rules (and local rules) set forth the formal…

Minnesota Bankruptcy Process: Filing, Rules, Courts, and Trustees

Minnesota Bankruptcy Process: Filing, Rules, Courts, and Trustees

Bankruptcy is the process by which individuals and businesses may obtain relief from debts they are unable to pay. Individuals, businesses, towns, and other entities may file for bankruptcy. Not all debtors who wish to file for bankruptcy will qualify. There are several chapters under the United States Bankruptcy Code under which a debtor may…

Minnesota Servicemembers: Protections for in the Court System for Members of the Military

Minnesota Servicemembers: Protections for in the Court System for Members of the Military

The Servicemembers’ Civil Relief Act (“SCRA”) is found at 50 U.S.C. app. §§ 501 et seq. The purpose of the SCRA is to strengthen and expedite national defense by giving servicemembers certain protections in civil actions. SCRA Benefits By providing for the temporary suspension of judicial and administrative proceedings and transactions that may adversely affect…

Minnesota Bankruptcy: Protections for Military Servicemembers

Minnesota Bankruptcy: Protections for Military Servicemembers

It is important for current members of the military to understand their legal rights, even during times when these rights may not be at the forefront of their thoughts. Service in the military may require a person to be absent from the United States. Certain actions should not occur without a person’s opportunity to respond…

Bankruptcy Procedure: From the Petition to the End

Bankruptcy Procedure: From the Petition to the End

A bankruptcy case normally begins by the debtor filing a petition with the bankruptcy court. A petition may be filed by an individual, by a husband and wife together, or by a corporation or other entity. The petition will be filed in accordance with a chapter in the United States Bankruptcy Code. A determination of…

What Are the Limitations on Filing a Second Bankruptcy?

What Are the Limitations on Filing a Second Bankruptcy?

Second Bankruptcy Filings Sometimes bad luck hits twice. Sometimes it hits more than twice. Bankruptcy is an opportunity to have a fresh start and begin rebuilding credit, but it is not a guarantee that the future will always be sunny. Sometimes people who have previously filed bankruptcy cases find themselves again needing the fresh start…

Bankruptcy Discharge: Discharged Debt and Revocation of Discharge

Bankruptcy Discharge: Discharged Debt and Revocation of Discharge

One of several results from a bankruptcy case is the discharge of some or all debts owed by the debtor to creditors. This is not the only result, however. Repayment plans and reorganization will result from some forms of bankruptcy proceedings. Not All Debt is Dischargeable Additionally, not all debt is dischargeable. Many debts to…

Bankruptcy Discharge: When is it Automatic and When May a Creditor Object?

Bankruptcy Discharge: When is it Automatic and When May a Creditor Object?

A dischargeable debt is a debt that does not have to be repaid after bankruptcy. It is discharged or eliminated from the debtor’s obligations. Not all debts may be discharged. Whether a debt is dischargeable will depend on the type of bankruptcy filed. The United States Bankruptcy Code contains a list of debts that are…

Minnesota Bankruptcy Discharge: What Debts May be Discharged and How?

Minnesota Bankruptcy Discharge: What Debts May be Discharged and How?

A discharge in bankruptcy relieves the debtor from personal liability for certain debts. By obtaining a discharge, the debtor obtains permission not to repay those debts. Not only do debtors not have to pay the discharged debts, creditors are prohibited from trying to collect these debts from the debtor. This includes attempts to request repayment…

Chapter 11 Bankruptcy: Chapter 11 and the Trustee

Chapter 11 Bankruptcy: Chapter 11 and the Trustee

The Department of Justice and the U.S. Trustee are charged with ensuring the integrity of the bankruptcy system. In order to accomplish this, the U.S. Trustee program may oversee administration of cases and engage in litigation to enforce compliance with the law. While both individuals and corporations or partnerships are permitted to file bankruptcy petitions…

Minnesota Chapter 11 Bankruptcy: The Reorganization Plan

Minnesota Chapter 11 Bankruptcy: The Reorganization Plan

Chapter 11 is the chapter of the United States Bankruptcy Code that allows reorganization. Chapter 11 is usually utilized by corporations or partnerships. The purpose of reorganization under Chapter 11 is to allow a business to survive through the bankruptcy, rather than close up shop, and extend the time frame within which the business must…

Chapter 13 Bankruptcy: The Chapter 13 Plan and the Trustee

Chapter 13 Bankruptcy: The Chapter 13 Plan and the Trustee

In Chapter 13 bankruptcy, the United States Trustee supervises the private trustees who administer Chapter 13 cases. In this chapter, the trustee does not liquidate the debtor’s assets, but instead evaluates the debtor’s financial affairs and makes recommendations to the court regarding the debtor’s proposed repayment plan. Chapter 13 Purpose Chapter 13 bankruptcies are intended…

Minnesota Bankruptcy Trustees: Administration of the Chapter 13 Plan

Minnesota Bankruptcy Trustees: Administration of the Chapter 13 Plan

In Chapter 13 bankruptcy, the United States Trustee supervises the private trustees who administer Chapter 13 cases. In this chapter, the trustee does not liquidate the debtor’s assets, but instead evaluates the debtor’s financial affairs and makes recommendations to the court regarding the debtor’s proposed repayment plan. Chapter 13 Basics A Chapter 13 bankruptcy will…

Understanding Chapter 7 Bankruptcy: Liquidation and Discharge of Debts

Understanding Chapter 7 Bankruptcy: Liquidation and Discharge of Debts

Chapter 7 bankruptcy is known as the “liquidation” bankruptcy process. There are other processes under other chapters of the United States Bankruptcy Code, however. Statistics show that debtors file Chapter 7 bankruptcy petitions more frequently than petitions under any other chapter. This is likely due to the discharge of many assets available to individual debtors…

Who is Chapter 7 Bankruptcy Trustee and Where Does Trustee Come From? | MN Bankruptcy Attorney

Who is Chapter 7 Bankruptcy Trustee and Where Does Trustee Come From? | MN Bankruptcy Attorney

Chapter 7 bankruptcy cases are the most commonly filed form of bankruptcy in the United States. Both individuals and businesses may file a Chapter 7 bankruptcy if they can meet the requirements. Discharge, however, is only available to individual debtors. Qualifying for Chapter 7 Bankruptcy Individuals who qualify under what is called the “means test”…

Bankruptcy Procedures: The Effect on Taxes and Estates

Bankruptcy Procedures: The Effect on Taxes and Estates

Bankruptcy proceedings begin with the filing of a petition with the bankruptcy court. The filing of the petitions creates a bankruptcy estate. The Identity of the Bankruptcy Estate If the debtor is an individual who files for bankruptcy under chapter 7 or 11, the bankruptcy estate is treated as a new taxable entity, separate from…

Minnesota Bankruptcy Estate: Bankruptcy Estates and Taxes

Minnesota Bankruptcy Estate: Bankruptcy Estates and Taxes

Bankruptcy proceedings begin with the filing of a petition with the bankruptcy court. Creation of the Bankruptcy Estate, a Taxable Entity The filing of the petitions creates a bankruptcy estate. If the debtor is an individual who files for bankruptcy under chapter 7 or 11, the bankruptcy estate is treated as a new taxable entity,…

Help Understanding Bankruptcy Court Process

Help Understanding Bankruptcy Court Process

Bankruptcy laws help people who can no longer pay their creditors get a fresh start – by liquidating assets to pay their debts or by creating a repayment plan. Bankruptcy laws also protect troubled businesses and provide for orderly distributions to business creditors through reorganization or liquidation. Common and Uncommon Avenues for Bankruptcy Relief Most…

Filing a Petition in Federal Court | Bankruptcy Court Procedures

Filing a Petition in Federal Court | Bankruptcy Court Procedures

All bankruptcy cases are heard by federal and not state courts. Bankruptcy cases must be filed in federal courts. State courts are not permitted to hear these matters. Types of Bankruptcy Proceedings There are several types of bankruptcy proceedings that may be filed. One commonly filed type of bankruptcy petition is a petition that requests…

Bankruptcy Discharge: What is a Discharge in Bankruptcy?

Bankruptcy Discharge: What is a Discharge in Bankruptcy?

Discharge in bankruptcy refers to permission to no longer repay certain debts. Certain debts are “dischargeable” in bankruptcy. Credit card debt is dischargeable. Student loans, tax debt, and court ordered child support obligations are not dischargeable through bankruptcy. Purpose of a Discharge The purpose of a discharge is to provide relief from some or all…

Minnesota Bankruptcy Filing: The Procedure for Filing Bankruptcy in Minnesota

Minnesota Bankruptcy Filing: The Procedure for Filing Bankruptcy in Minnesota

The laws surrounding bankruptcy are intended to provide a debtor an opportunity to begin again, start over without existing debt, or reorganize the repayment schedule to find a workable payment plan. Federal Courts A bankruptcy case normally begins by the debtor filing a petition with the bankruptcy court. Federal courts, and not state courts, hear…

Bankruptcy Filings: Cautionary Notes

Bankruptcy Filings: Cautionary Notes

Filing for bankruptcy is an extremely personal decision. It can also be a very emotional decision. Filing for bankruptcy may be done by an individual without the help of an attorney, but there are consequences to making mistakes. Corporations and partnerships are not allowed to file for bankruptcy without an attorney. Important Concerns Surrounding Bankruptcy…