Understanding Bankruptcy

Bankruptcy is a legal process through which a person or business who is unable to repay debts to the creditors may seek relief from their debts. The process of bankruptcy begins with a petition which is commonly filed by the debtor or less commonly by the creditors. During the bankruptcy process, assets of the debtor are measured and evaluated which are then used to repay a portion of the outstanding debt. With the help of New York Bankruptcy Lawyers, you can clear your debts, set up payment plans and protect your business from creditors.

Uses of Bankruptcy

Bankruptcy offers a person or a company an opportunity to start fresh by forgiving debts that simply cannot be paid while providing creditors an opportunity to acquire some repayment based on the business's or the individuals' assets available for liquidation. Bankruptcy can theoretically benefit an overall economy by offering people and companies a second chance to obtain access to consumer credit and measures to repay their debts to the creditors. Once the bankruptcy procedures are successfully completed, the debtor is relieved of the debt commitments incurred prior to filing for bankruptcy.

Basics of Bankruptcy

All bankruptcy cases are handled by federal courts in the United States. Bankruptcy judges make decisions against federal bankruptcy cases including whether a debtor should be discharged of his debts or whether he is eligible to file a bankruptcy. Most often, an officer of the Department of Justice is appointed by the United States Trustee to represent the debtor's estate in the proceeding. Usually there is very little interaction between the debtor and the judge unless a creditor makes any objection in the case.

Types of Bankruptcy

Chapter 11

This sort of bankruptcy is the most complicated and time-consuming, and is most frequently submitted by companies. If a company has declared Chapter 11 bankruptcy, it will continue to operate, maintain possession of all property, and attempt to develop a strategy to pay off its creditors. It is essential to remember that Chapter 11 does not dismiss debt commitments, but rather renegotiates, often leading in longer repayment windows, smaller payments or reduced interest rates.

Chapter 7

Small companies and Sole proprietorships that have no feasible future or lack substantial assets file Chapter 7. In this case, all the properties of the business are sold to meet debts, and any debts that cannot be covered by the purchase of assets are released. This is why Chapter 7 is also frequently referred to as "liquidation." Chapter 7 also works on the assumption that the person /or the company do not have enough revenue to repay their debts. It is not possible to carry out further business operations once a company has filed a Chapter 7, so the company is basically dissolved.

Chapter 13

A chapter 13 bankruptcy is typically reserved for consumers although it can also be used for sole proprietorships. People submit a repayment scheme to the bankruptcy court describing how they will repay the debts. The sum that is required to repay relies on how much the person earns, how much they owe and how much property they own.

Food Safety Compliance: Rules and Regulations

There is no official definition of food safety, mainly because the laws and guidelines should be followed depending on where and what sort of food service you provide. However, each restaurant should follow certain basic rules for food safety. HACCP has also been created to serve its customers and help companies in food facilities. HACCP is a globally recognized system of food management that addresses food safety and regulates potential biological, physical and chemical hazards. It can be simply defined as a system which was set up to recognize potential food safety issues and methods to control them and also to reduce diseases and contamination among the customers. If you go through the official website of HACCP, you will find out that it contains a long list of how to recognize risks and methods to regulate them. The HACCP website is informative and worth reading thoroughly if you have time, but it can be condensed to a much simpler format.

Some of the food safety rules and regulations one should follow before setting up a business are as follows:

Food and General Supply Storage:

Food, Spices and other edibles should always be kept away from the cleaning supplies. This implies that the cleaning machine should not be positioned closer to the kitchen area or the food preparation and storage region. Everybody should follow cross-contamination prevention practices before or while moving between the two areas.

Cleaning Processes Should Always Be Clear:

Cleaning processes and sanitizing rules for all food services include proper hand washing procedures, cleaning and sanitizing techniques for the kitchen, dining and food storage areas. Also, don’t forget about the region of waste disposal. An important element of operating a secure and tidy restaurant is proper disposal of waste and recycling. Dirty dumpsters attract pests, and many pests are hard and expensive to get rid of once they have gone in.

Raw Meats, Poultry, Seafood and Eggs Pose Potential Risk:

Items like raw meats, seafood, eggs and poultry should always be stored away from all other food items. All of these should have a separate preparation area with separate cuttings boards and washing stations and all should be color coded for easy and quick identification. This will help prevent cross contamination which is one of the major problems, every restaurant faces today.

Proper Dry Storage and Refrigeration:

Appropriate refrigeration and dry storage is crucial and everyone should follow the process rules. For proper storage and processing, product labels should always be verified.

Maintain Accurate Records:

Food safety compliance implies that you need to maintain accurate records of all you do. This includes food temperature logs, ordering histories, task checklists and corrective action logs when things don't go as scheduled. If your restaurant is ever audited or inspected, these things should help you in proving that you have taken care of every little detail.

Bankruptcy Lawyers

Bankruptcy is a legal process that is complicated and involves detailed planning. Even a tiny error can be costly. It is mainly a liquidation proceeding where a debtor submits all his non exempt assets to the Bankruptcy Trustee. The trustee sells all the assets to a creditor to avail benefits. Exemption law in most cases allows the debtor to retain all his assets. And debtor receives a release in exchange and becomes relieved of all his responsibilities of paying those debts included in the bankruptcy forever. When you file for bankruptcy, planning is very essential. Bankruptcy is a legal process which helps a person incapable of paying his/her bills, eliminate his debts and helps them to get a fresh start. Reorganization is a bankruptcy preceding that enables an individual to reorganize their assets. Federal law provides the right to apply for bankruptcy. In federal court, all bankruptcy cases are addressed. Bankruptcy estate is the submission of all your debts and all of your property before filing for bankruptcy. Everything you own, whether you owe it or not— for instance, a house, a car, apparels, books, television, audio system, furnishings, instruments, boat, artworks, even inventory or stock certificates— is incorporated in your bankruptcy estate. Once the case has been filed, a trustee is being appointed to supervise the bankruptcy estate. The responsibilities of the trustee involves examining the debtor (the person who filed the case) to determine whether the petition he filed is true and accurate and whether or not there is any property or asset which can be sold to the creditor by the debtor. The law permits that specific property can be exempted, or expelled from the bankruptcy estate, and hence it gets outside the reach of the appointed trustee. Most of the files cases are often given the term “no asset” cases; which depicts that the debts are released and there is no assets for the trustee to sell off in order to satisfy the debt owed creditors.

Food Laws and Regulations-an overview

Food Law is an agglomeration of laws and regulations that supervise food production, food manufacturing, food storage, distribution, consumption, food sale and import. Food laws aim to safeguard consumers and also ensure complete safety of the consumer consuming a particular food product. Food Safety and Standards Act (FSSA) is currently the governing law associated with food products in India. This Law was passed in India on August 23, 2006 by the Parliament and is mainly governed by the Ministry of Health and Family Welfare. The Indian Food processing industry had enforced many laws that dealt with food safety and were in operation prior to the inception of the Food Safety and Standards Act 2006. Some of them are:

·         The Vegetable Oil Products (Control) Order, 1947

·         The Prevention of Food Adulteration Act, 1954

·         The Fruit Products Order, 1955

·         Essential Commodities Act, 1955 (in relation to food)

·         The Solvent Extracted Oil, De oiled Meal and Edible Flour (control) Order, 1967

·         The Meat Food Products Order, 1973

·         The Milk and Milk products Order, 1992

·         The Edible Oils Packaging (Regulation) Order, 1998

FSSA was passed by the Parliament with the main intention to converge previous 8 laws into one comprehensive act and thereby having only one regulatory body. FSSA came into prominence mainly as it orchestrated the Indian Food Laws and regulations as per international standards. Later, Food Safety and Standards Authority of USA (FSSAI), an autonomous body was established and set up by FSSA on August, 2011. Main responsibility of FSSAI is to protect and promote public health through the supervision and regulation of food safety and also to set standards for food in a way that there is no confusion among the traders, consumers, investors and manufacturers.

FSSA has implemented many regulations to provide assurance of food safety. Key regulations include:

1.      Packaging and Labeling:

FSSA has enforced certain regulations on the packaging and labeling of food products which include general requirements of enclosing and labeling of the food products for its safe distribution, storage, sale and import.

2.      Signage and Customer Notices:

Under this section, FSSA has provisions with regard to the presentation and advertising of the food products by different food business operators. Under this act, no one is allowed to engage themselves  in any discriminatory trade practice for the promotion and sale of their products and also no one can adopt any deceptive approach by making false statements whether orally, or in writing or by any source of visual representation which:

a)      falsely represents that the food products are of good standard and quality

b)     makes falsification or misrepresentation of the product’s usefulness

c)      provides guarantee of the product without any adequate or scientific justification.

3.      Licensing Registration an Health And Sanitary Permits:

Under this provision, FSSA governs the license and registration of a business operator. FSSA ensures that each and every food operator is registered in accordance to the License and Registration Regulations so that no one can start a food business unless they possess a valid license. Prime purpose of FSSA is to ensure that each and every business operator maintains food safety, sanitary and hygienic standards.

Penalties by FSSA:

The Food Safety and Standards Act (FSSA) enforce the following penalties for misleading and dishonest trade affairs:

The Many Intricacies Involved In A Bankruptcy Litigation And The Way Forward

There are many for whom the word bankruptcy, though known, does not make any sense, as they don’t exactly know what it means. The term bankruptcy can be briefly described as a process which is legal in nature and through which the debtor pays off the creditors, the major part of the debt through the management and administration of the fixed and movable assets under the watchful eyes of the exclusive courts which handle bankruptcy cases. A person when unable to pay back the money that he owes to the debtors, generally files for bankruptcy, in part to get some respite from the harassment of the creditors, and also to find a solution to the dire financial predicament, and to get another chance to start life afresh on a new financial footing. In such cases, the debt condition is generally unmanageable by the individual himself and therefore he needs the intervention of the law to get out of the entire mess. Bankruptcy allows the debtors to prevent recovery of debts for a certain period of time giving the business or the individual some time to arrange for an alternative through which they can repay the debt.

Therefore, the process of bankruptcy litigation is definitely not an easy one and especially daunting to the common man who won’t be having any experience at all regarding this matter. It is also a matter of social shame to declare one as bankrupt because money is a set standard through which the social standing of an individual is measured. Since bankruptcy is a first-time action for many, or shall we say most individuals, therefore it is best to take the help of a knowledgeable and experienced attorney, who knows all the intricacies that are involved in cases of bankruptcy. You can rely on the skills and expertise of an experienced attorney who can guide you in the right direction where you will be able to come out of the bankruptcy case with your dignity intact. But before you go on to hire a lawyer, it is better that you educate yourself a bit more about bankruptcy and learn the basics, so that you can decide which lawyer will best serve your purpose also check on the reputation of the lawyer to see how many litigation cases have been successfully settled by him or her. 

 There can be two types of bankruptcies, one is bankruptcy litigation, and the other is the contested bankruptcy cases. It is better to know the difference between the two rather than getting confused with all the legal jargon. Through knowing the difference between the two, you will gather more knowledge about the litigation part. In most of the cases where an individual declares bankruptcy, the skilled lawyers make arrangements to settle the cases outside the courtroom even if a case does become contested. Vis compromises and negotiations a lawyer, in most cases can settle the dispute with the moneylender outside the court in an amicable manner so that all the hassles related with courtroom actions become unnecessary.

Now the actions and motions which have been initiated by either your creditor or by you fall under the category of a bankruptcy litigation. In such instances, your case becomes contested in the court of law, and it all depends on the circumstances and your creditors. In litigations, there could be instances where a motion is filed according to which you have to turn over your available assets for the purpose of distribution of the same to the creditors immediately. In other cases, with a motion for relief from automatic stay, a lender could seek to essentially overrule the impact of the automatic stay. Additionally, there can be situations where a trustee could potentially file an objection to the payment plan if you're filing for a chapter 13 bankruptcies. Likewise, with claims that a particular debt is not dischargeable, a lender may file an objection to a discharge. Therefore as mentioned earlier, it is best to take the advice of a litigation lawyer as to the best course of action to be followed so that you are not permanently drowned in the litigation case. A skilled and experienced lawyer will continuously guide you as well as deal with your creditors so that everything goes smoothly, and the case is taken care of in a proper manner.

When Do You Need A Business Lawyer for Your Small Business?

Legal assistance is a cost of doing business that saves money in the long run. You will surely need to hire a business litigation lawyer if you face such serious issues. Check out the situations when you surely need to appoint an attorney for defending your business.

 Entrepreneurs who start a small business are worried about hiring a business lawyer. Most of the entrepreneurs think that the lawyers would charge a high rate, which is often difficult for them to bear. Consequently, they hire a lawyer when confronted with a serious legal issue like for instance when a customer files a suit against the company.  However, legal assistance is a cost of doing business that saves money in the long run. It's true that you don't require a business transaction lawyer at every step of running a business, but it is always better to be guided by an attorney. 

Let's check out when you certainly need a business lawyer for the issues that you can't handle on your own.

·         Business Facing  Complex, Time  Consuming  & Liability Issues - Being a business owner, you can certainly fill up the Internal Revenue Service form or boilerplate business forms. However, if you face a complex issue, which is very time consuming or fraught with a charge, the best option is to appoint a business lawyer.

Some instances when you should appoint a lawyer:

If an employee (former, current or prospective) has filed a lawsuit on the basis of discrimination in the process of hiring, sacking or a hostile work environment.

In case your Local, State, or Federal Government bodies are filing a complaint against your business or inspecting your trade for violating any law.

 If you want to make any special profit allocation or like to contribute a valuable property to your business.

 If your business is involved in an environmental issue (even though your business didn't cause any environmental problem, you could be penalized for that).

  In case of sales negotiation of your business or for the acquisition of another business. 

You will surely need to hire a business litigation lawyer if you face such serious issues. Initially, you should try to prevent such situations. You may consult with a business transaction lawyer for your small business formation who can guide you with the general business law. However, in order to defend the lawsuit filed against your company, you should hire an expert business lawyer. Choose an attorney who offers an extremely competitive rate. Moreover, you should assess the responsiveness of the lawyers to the clients. If you are stuck in a lawsuit, it's a time sensitive matter and so, your lawyer should promptly respond to your need. Find out a responsive business attorney and defend your small business.

How Produce Law is Protecting the Rights of Agricultural Traders

Since food and agricultural sector contributes significantly to the US economy, it demands considerable legal compliance for the protection of rights and interests of the people involved and to abide by the state and federal food laws.

The complex legal litigations related to food and agricultural sector, can land the accused person into serious trouble. Ever since the produce law was introduced, it has infused a relieved ambience among the fruit and vegetable traders in USA. The law has been framed by keeping in mind the interest of the monetary institutions who lend loan to the agricultural producers. For any traders in USA who are involved in buying, selling or dealing with fresh or frozen agricultural products must be aware of the ethics of P.A.C.A law to avoid litigations.

Most reputed legal firms in USA, renders professional legal assistance pertaining to adulteration and misbranding of food products. Delivering adulterated agricultural products to the customers is considered as a serious legal violations. Not only this law protect the food rights of the common US citizen but also assist the the corporate agricultural establishments in obtaining administrative and governmental approval. These renowned law boutique engages qualified and experienced attorneys to assist the clients in complying with the ethics of produce law to maintain complete transparency. Representing a vital part of federal legal system, these competent lawyers execute their responsibilities by catering valuable advice to the clients on the rules and regulations of P.A.C.A law and its impact on various aspects of commercial transaction.

Being one of the major contributor in US economy, the agricultural producers, buyers and dealers encounter complicated legal issues which if remain unsolved can land the client under the rage of US district courts. The competent attorneys of the premium law firms also offers legal advice and resolution to several produce trade associations in the country encouraging fair business practices.