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IN THE UNITED STATES BANKRUPTCY COURT FOR THE DISTRICT OF DELAWARE In re: Chapter 11 PERKINS & MARIE CALENDAR? S INC.,1 et al., Case No. 11-11795 (KG) Jointly Administered Debtors. Ref. Docket Nos.
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Chapter 11 bankruptcy is a legal process that allows businesses to reorganize and continue their operations while repaying their debts to creditors. It provides a way for businesses to address financial difficulties and potentially emerge as a viable entity.
Any business entity, such as corporations or partnerships, can file for Chapter 11 bankruptcy to reorganize their debts and financial obligations. Individuals may also file under Chapter 11 if they exceed the debt limits imposed by other bankruptcy chapters.
Filing for Chapter 11 bankruptcy involves a complex legal process. It usually requires the assistance of an attorney who specializes in bankruptcy law. The attorney can guide the debtor through the necessary paperwork, financial disclosures, and negotiation with creditors.
The purpose of Chapter 11 bankruptcy is to provide businesses with a mechanism to restructure their debts and develop a plan to repay creditors while continuing their operations. It aims to give struggling businesses a chance to get back on their feet and ultimately emerge as a healthy and viable entity.
When filing for Chapter 11 bankruptcy, the debtor is required to provide detailed financial information including assets, liabilities, income, expenses, contracts, and leases. This ensures that all relevant parties have a clear understanding of the debtor's financial situation.
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