What are Chapter 11 and Chapter 12?

Chapter 11 is like a Chapter 13 for rich people and big companies, except that it is more complicated and much more expensive. The filing fee alone is $800.00. Attorney fees start at $5,000.00, and for companies like Enron, the attorney and accountant fees can be in the millions. I do not take Chapter 11 cases, because I prefer to help the little guy.

Chapter 12 is a special thing that has been set up to allow family farmers to reorganize their debts, with special rules that allow them to keep property and equipment that they would lose in a Chapter 13. It also keeps them from having to spend as much money as a Chapter 11 would cost. It was supposed to be temporary, but Congress has renewed it several times, and it will probably be around for many years to come.