Q: What is the difference between chapter 7 and chapter 11 bankruptcy?
Chapter 7 is a liquidation and Chapter 11 is a reorganization. Chapter 13 is also a reorganization.
In Chapter 7, you can only keep what you can exempt under California law. The non exempt property if any will be sold to pay debts.
In Chapter 11 and Chapter 13, you propose a payment plan.
Many lawyers offer free consultations. Which Chapter is best for you depends on what type of debts and income you have. Good luck sorting it out.
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