When might a business decide to convert or be compelled to convert from a Chapter 11 case to a Chapter 7 case?
What will be an ideal response?
A conversion from Chapter 11 to Chapter 7 involves changing from reorganization to liquidation. A Chapter 11 debtor may convert to Chapter 7 liquidation if Chapter 11 was filed as a voluntary petition and the debtor is a DIP. This conversion makes sense if assets are diminishing. Creditors, for example, may have motioned the court to lift the Automatic Stay, resulting in a seizure of property. A situation may arise as it did in the Hostess bankruptcy case when the company claimed that it would be unable to reorganize unless it obtained concessions from the union in the form of cuts to wages and pension benefits. Substantial postpetition taxes and attorneys' fees may also serve to decrease the possibility of reorganization. Involuntary bankruptcies, either initially filed by creditors to force a debtor into bankruptcy or as a conversion, may be converted from a Chapter 11 to a Chapter 7 for cause. An example of cause to support an involuntary conversion from Chapter 11 to Chapter 7 is the unlikelihood that the debtor will be able to make payments under the reorganization plan and rehabilitate its business affairs.
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?Means of confinement considered to be false imprisonment include which of the following?
A. ?Threats of physical force B. ?Physical barriers C. ?All of these choices are correct. D. ?Physical restraint
The difference between a request and a motion is that:
a. A request is automatically granted usually thirty days after filing, absent any objections. b. A motion is a document that asks the court to take some type of action. c. A motion is usually accompanied by an order and affidavit. d. There is no difference.
Patty Paralegal's job requires her to call all 250 of the firm's corporate clients twice each year and give them some information. Most of these telephone calls take less than 2 minutes, especially if she can just leave a voicemail. The smallest billable amount at Patty's law firm is .1 or 6 minutes. If Patty makes 30 phone calls per hour, but bills them at 6 minutes, Patty's one hour becomes 3
hours. Therefore, at the end of an 8 hour day, Patty can bill 24 hours! Patty should A) ask her supervising lawyer for permission to not bill clients for this service but ensure that the time she spends at this task is added to her annual cumulative billable hours. B) bill each call at a full hour because no one is going to know. C) ask her supervising lawyer for permission to just not bill clients for this service. D) bill each call at 2 minutes and let the accounting department deal with it.
What have employees done to sabotage the workers' compensation system?
What will be an ideal response?