Blogs & Resources

If you are considering bankruptcy for your insolvent business, an Assignment for the Benefit of Creditors (“ABC”) might be your answer. An ABC is a less expensive, quicker, quieter, and simpler alternative to traditional bankruptcy. An ABC is a state law procedure utilized to liquidate a failed, insolvent, or no longer viable business. Fla. Stat. § 727.101. An ABC is normally much simpler and usually less expensive than a comparable bankruptcy proceeding. This savings means larger payouts to both unsecured and secured creditors. This blog provides a general overview of the ABC process, and highlights a few benefits of ABC as compared to a Chapter 7 bankruptcy.

One of the most common misconceptions of non-lawyers regarding the practice of law is that a civil case ends upon conclusion of a trial and that, if a party is victorious at trial, he automatically obtains or is provided with the award he was granted in court. For instance, if one party sues another for $1 million and prevails at trial, the thinking goes, then, upon conclusion of the trial, the other party just hands over the million dollars. Unfortunately, this is not the case.