How Long Does a Chapter 11 Bankruptcy Proceeding Take?

November 29th marks the one-year anniversary of American Airlines’ Chapter 11 bankruptcy filing. This has been the largest ever bankruptcy proceeding of a U.S. airline, and over 12 months the company has undergone various steps as part of its restructuring.

For a large company like American, the bankruptcy process is extensive and involves many moving parts. The company had to consider how to best allocate its time and effort; what areas get a piece of an already tight budget? They also needed to work with unions and worker pensions and contracts alongside the guidelines and goals set up during their bankruptcy and enforced by their unsecured creditors.  

Why should I file for bankruptcy before the New Year?

With the New Year just few weeks away, what is your 2013 resolution? Some people want to lose weight, quit a bad habit, or do things to make their lives better. So how about taking a serious look at your current financial situation and seeing how you can improve it? If you are one of the many thousands of Americans facing mounting debt, this is a smart step to take. Our law office does all we can to help individuals get their lives back on track, and as a way to get even more people to think seriously about how bankruptcy can help them, we are offering a special incentive: those who use our firm to file for bankruptcy before December 31, 2012 will have their $306 bankruptcy filing fee waived if they mention this offer.

How can a business effectively navigate a Chapter 11 bankruptcy when unions are involved?

After two bankruptcies and a series of failed talks with unions, Hostess Brands stopped production of its famous sweets and breads and will sell off its assets to the highest bidder. The American creator of classic junk food items such as the Twinkie, Sno Ball, and Ho Ho shut down its plants on Friday and plans to begin selling off its brands.

Hostess claims that all this occurred after labor contract talks fell through and union workers went on strike to protest proposed wage and benefit cuts. However, members of the Bakery, Confectionery, Tobacco Workers and Grain Millers (BCTGM) union tell a very different story.