Bankrupcty Law
Our nation's bankruptcy laws permit you or your company to discharge or reorganize your debts. The framers of the Constitution created bankruptcy (footnote). Its purpose is to permit a fresh start. The ability to reinvent your self serves an important economic objective.
You might be surprised to know the names of a few Americans who needed bankruptcy protection:
Walt Disney. The man who would eventually create an entertainment empire was not always rich. He had a rough start. He filed bankruptcy when he could not pay his employees or office rent. Five years after discharge, he dreamed up "Mickey Mouse." You know the rest of this story.
Henry Ford. Before he manufactured the Model T, Ford created several Model "F's" for failures. Ford's first two automobile companies failed. In June 1903, at the age of 40, he created a third company, the Ford Motor Company with a cash investment of $28,000.00. By July of 1903 the bank balance had dwindled to $223.65. But then Ford sold his first car. Ironically, 106 years later Ford turned down government bailout money.
Willie Nelson. In 1990, the country music legend filed bankruptcy. He owed $16.7 million to the IRS. They wound up seizing his bank accounts and his real estate holdings in six states.
Rembrandt. Regrettably, until long after his death, the famous artist produced paintings far faster than the pubic bought them. When he ran out of money, he filed for bankruptcy.
Mark Twain. Yes, the immortal author of Tom Sawyer and some of our other favorite books filed bankruptcy. He lost most of his money investing in a speculative business venture. He filed for bankruptcy in 1894 and discharged all his debts.
Burt Reynolds. The actor filed in Florida. He had more than $10 million in debt that was discharged. One big loss to this story was that Burt's tasty Ft. Lauderdale steakhouse was closed and never reopened.
Donald Trump: "The Donald" has filed bankruptcy twice! Despite playing the part of a savvy businessman on television, Trump finds it much harder to make profits for investors in real life. He has discharged over $2 billion in debt. How does that compare with your company's obligations to creditors?
Our nation's bankruptcy laws are designed to assist anyone that needs a break from the burden of excessive debt. While we do not have Donald Trump as a client, we are helping many individuals and business owners in Florida reorganize their lives and prepare for a better future. For a free initial consultation on your financial situation and the options available to you, call Dennis Creed, or his assistant Cathy (800) 934-5999.
FN 1: US Constitution, Article I, Section 8
If you would like to consult with an attorney regarding a legal matter, or if you have questions about what you have read on The Florida Lawyer Website, then please contact us at (800) 934-5999. Lynch & Robbins has offices in St. Petersburg, Tampa, Miami, Orlando.