online dating in guwahati - Definition of liquidating trust

These example sentences are selected automatically from various online news sources to reflect current usage of the word 'liquidate.' Views expressed in the examples do not represent the opinion of Merriam-Webster or its editors. In the financial world, to liquidate something means to sell it for cash.

Alimony, child support, and student loans generally cannot be discharged in a Chapter 7 case, nor can most judgments against the debtor for criminal acts.

Businesses The procedure for filing Chapter 7 bankruptcy is very similar for businesses.

If all the debtor's assets are tax-exempt or subject to liens, there may not be any assets to liquidate and hence no money to distribute to creditors.

If there are assets to liquidate, however, the creditors usually file a written claim so they can receive some of the proceeds.

(In some cases, creditors can force a debtor into Chapter 7 by filing the petition themselves.) The debtor must provide the court with financial and tax information, as well as a list of creditors and outstanding debts.

In most cases, the court also requires proof that the individual has obtained credit counseling. trustee (or the court itself, in some states) then appoints an impartial trustee to handle the case and liquidate the debtor's assets.

Filing the Chapter 7 petition automatically stops most collection actions against the debtor, including lawsuits, garnishments, and phone calls. If all the debtor's assets are exempt or subject to liens, there may not be any assets to liquidate and hence no money to distribute to creditors.

If there are assets to liquidate, however, the creditors usually file a written claim so that they can receive some of the proceeds.

The trustee handles the liquidation and determines which creditors are paid first.

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