When people start tossing the word “bankruptcy” around, most in Cuyahoga Falls may automatically think of large companies or corporations that are going under. While many of the more high-profile bankruptcy cases that garner media attention do center on corporate cases, there is often an untold story behind the corporate saga. Many company owners and employees find their own personal finances to be deeply affected by the failure of their companies. Thus, it’s quite common that a good number of personal bankruptcy cases have direct ties to a corporate filing, as well.
Such is the case with the former president of a now-defunct airline that formerly operated out of South Carolina. The airline itself has been out of business for over two years. Now, the trustee appointed by the court in the airline’s bankruptcy case is suing the former president to recover more than $500,000 that he was paid by the airline. That lawsuit has now been halted due to the fact that former president himself is now filing a personal Chapter 7 bankruptcy. In it, he lists over $26 million in debts with just over $200,000 in assets.
While it may perplex some how one could accrue over $26 million debt, anyone can easily find himself or herself facing expenses that would be considered to be similarly overwhelming relative to his or her own situation. In that instance, the protection afforded by a personal bankruptcy may be his or her best option at resolving that debt. Not only does it protect him or her from further collection activities by creditors, but it also offers him or her the chance to reestablish a firm financial footing once the bankruptcy has been discharged. Anyone seeking this type of assistance may want to speak with a bankruptcy attorney immediately.
Source: The Sacramento Bee “Direct Air founder files for personal bankruptcy” Apr. 19, 2014