How to Find Bankruptcy Records in MassachusettsWhat Are Bankruptcy Records?
Bankruptcy is referred to as the situation when an individual or a business entity is under outstanding debt and is unable to repay back its debt. The process of declaring accounts as nil and the subsequent legal proceeding which follows post declaration of outstanding debt and proceeding with the legal obligation which allows for a various methodology for stakeholders to receive repayment is termed as Bankruptcy.
The process requires the declaration of reasons for the lack of finances to repay back the owed amount. The case of bankruptcy is dealt with under the federal court and is specially provisioned under the Bankruptcy Code of the United States of America.
Why do we need Bankruptcy?
The declaration and subsequent evaluation of bankruptcy provide business or individuals with the opportunity to restart the process again, nullifying any negative or detrimental practices. It provides a clean slate opportunity for businesses to rediscover the operation and deduce better methods of running the business.
It also helps entities or individuals associated with the business to balance their credit score, in order to further get better investment and helps them get out of a non-profitable cycle business usually find themselves in.
It also provides an opportunity for creditors or stakeholders to receive their investment by virtue of asset selling or dissolving of shares or bonds of value.
Types of Bankruptcy
There are various categories of bankruptcy as segregated under the Bankruptcy Code. The segregation of bankruptcy is based upon the end goal of the resolution being offered after the evaluation of the bankrupt party. Some of the bankruptcy code include:
1) Chapter 7 of Bankruptcy code: The idea of the chapter 7 bankruptcy code is to liquidate any form of spendable asset to recover as much credit as possible. These assets could be various different sources such as bonds, stocks, properties, etc. So a company or individual filing a chapter 7 bankruptcy code can sell his or her asset and repay back the owed amount in order to complete the bankruptcy process.
These have been especially preferred by businesses who have been functioning for some time now and require efforts at re-establishing the operation as various stakeholders and other entities are dependent upon the business.
There are various other chapters associated with separate cases or scenarios as and when applicable.
Finding Bankruptcy Record in Massachusetts
Bankruptcy records are public files that archives all forms of bankruptcy court proceeding and the subsequent resolution being applied by virtue of the chapter of bankruptcy code being applied. These records can be accessed under the United States Bankruptcy Court, District of Massachusetts. The website link for an online version is given below:
Applicants are required to register for the PACER account thereby providing them the option of downloading a case file pertaining to the specified case detail. Each page of the record page cost .50 cents.
Audio CD is also available for purchase pertaining to the cases as and when applicable. The Audio CD features the complete court proceeding and the resolution being implied.