Cornett Hospitality, LLC filed Chapter 11 bankruptcy on November 21, 2012. This was a voluntary bankruptcy filing on the part of Phil Cornett, director of Cornett Hospitality, LLC. Mr.Cornett has operated a number of Hooters, Topeka’s Steakhouses and Max & Erma’s restaurants, throughout Virginia, in addition to Hooters in West Virginia. It surprised many outsiders, when the business listed 287 creditors and $1,000,001 to $10,000,000 in liabilities during a formal bankruptcy filing.
This company’s inability to pay the rent on 2 Max & Erma’s restaurants properties eventually lead to their closing. Mr. Cornett stated continuing problems with the Max & Erma’s restaurants brought about the need to restructure business’s assets. Bankruptcy does not signal the end of this company, but a legal measure to keep it economically viable.
Ralph A. Ferro Jr. (Board Certified in Consumer Bankruptcy Law)
Ralph A. Ferro Jr., Esq. – Law Offices has provided legal services to the people in the state of New Jersey since 1993. Ralph A. Ferro Jr. specializes in bankruptcy services, so individuals can lead happier and more productive lives. Mr. Ferro Jr. is available to clients 24 hours a day, answering questions and guiding them through this entire process. These are some of the questions frequently asked by individuals, who require the services of this firm.
Reasons to File for Chapter 11 Bankruptcy
- This is a legal approach to help individuals consolidate their debts by reducing or completely removing all debts owed.
- Generally all debts can be eliminated through this legal process.
- Filing bankruptcy allows individuals or corporations to reimburse creditors in manageable amounts or it can totally absolve them of all debt.
- This system was designed to help corporations or private citizens to establish an economic clean slate by removing the burden of excessive indebtedness.
Common Questions about Bankruptcy
- Clients worry collection phone calls will not end until the bankruptcy is finalized. Once a legal petition for bankruptcy is filed, all calls must cease, even in cases of chapter 13 and chapter 7.
- An individual does not need to be a United States citizen to file in New Jersey. Filing for bankruptcy is available to a private individual, corporation, sole proprietorship and partnership.
- Bankruptcy does negatively influence credit ratings; however beginning this process is the result of poor credit. Individuals are able to minimize or eradicate all debt, allowing them to eventually restore their credit.
- Filing for bankruptcy will stop all attempts to garnish wages and or levies on bank accounts. It is imperative to seek legal counsel and start this process without delay.
Legal Knowledge and Guidance
Many bankruptcy scenarios do not have easy answers. The sooner a client can receive legal advice, the faster their problems can be resolved. The case of Cornett Hospitality, LLC illustrates the benefits of bankruptcy to resolve debts and move forward. Additional information can be obtained through this email address. Receive a free consultation today!