North Carolina Bankruptcy Courts (NC)
Filing Chapter 11 in North Carolina Bankruptcy Courts and Debtors In Possession
Chapter 11 cases require a completely different administrative process than other bankruptcy types. Reorganization does not normally require the appointment of a trustee, and allows a debtor-in-possession to assume many of the rights and duties associated with trustees in other chapters. In addition, Chapter 11 debtors are allowed to continue business operations subject to the onus of stringent court review of extensive reports, disclosures and form filing requirements established by the Code and North Carolina Bankruptcy Court Local Rules.
North Carolina Bankruptcy Court Locations:
North Carolina Eastern Bankruptcy Court Divisions: Elizabeth City, Fayetteville, New Bern, Raleigh, Wilmington, and Wilson.
North Carolina Middle Bankruptcy Court Divisions: Durham, Greensboro, and Winston-Salem.
North Carolina Western Bankruptcy Court Divisions: Asheville, Charlotte, Shelby, and Statesville.
Debts can be discharged in Chapter 11 cases according to the terms of plan, subject to court approval. Contracts may be repudiated, interest rates reduced, and many liabilities may be rescinded or avoided altogether. The administrative processes and forms required to initiate a Chapter 11 cases are fairly simple, yet the complexity of this type of filing grows exponentially after filing. Chapter 11 cases are not recommended for typical consumers, because of the relatively high cost compared to obtaining benefits in Chapter 7 and 13.