Chat with us, powered by LiveChat

Sacramento Business Debt Relief Lawyers: Navigating Complex Laws to Find Financial Freedom

Dealing with overwhelming business debt can feel incredibly stressful and isolating. Many business owners in the Sacramento area have found themselves facing more debt than they can reasonably manage. It happens more often than you’d think – one bad quarter, an unexpected expense, or even just the accumulated interest on loans can put a business on the path to financial ruin.The good news is, you don’t have to face this alone. There are experienced Sacramento business debt relief lawyers who understand both the complex laws around debt relief and the emotional toll debt takes. They can help you navigate the legal system to find the debt relief options that work best for your unique situation.This article provides an overview of business debt relief and bankruptcy laws in Sacramento, typical defense strategies lawyers use, and profiles of top local lawyers who may be able to help. Read on to learn more about how Sacramento business debt relief lawyers can assist you.

An Overview of Relevant Laws and Legal Precedents

Business debt relief laws can be complex. There are federal laws around bankruptcy filings, as well as California state laws that provide additional protections. Some of the key laws Sacramento business debt relief lawyers work with include:

- -
  • Chapter 7 Bankruptcy – This allows for liquidation of company assets to pay creditors. Remaining debts are discharged. Better for smaller companies or those with few assets
  • Chapter 11 Bankruptcy – Businesses can reorganize and restructure debt while continuing to operate. More complex process but allows business to continue
  • Chapter 13 Bankruptcy – Rarely used for businesses, but can allow 3-5 year structured repayment plan.
  • California’s Anti-Deficiency Laws – Limit personal liability for business loans secured by real estate if lender forecloses
  • Right of Redemption Laws – Allow businesses time to repay debts and retain property after foreclosure judgement
  • Statute of Limitations – Sets time limits for how long creditors can sue to collect on debts. Varies by debt type
  • Fair Debt Collection Practices Act – Federal law that prohibits harassment/deception and sets rules for collectors

Sacramento business debt relief lawyers stay up-to-date on precedents around these laws to build the strongest case possible. For example, a 2018 Supreme Court ruling expanded protections for business owners with multiple LLCs, which lawyers can now leverage.

Common Defense Strategies

Experienced Sacramento business debt relief lawyers have many strategies to defend business owners against creditor lawsuits and collection efforts. Some of the most common include:

  • Challenging errors in creditor records/accounting that overstate how much is owed.
  • Asserting any illegal collection practices like harassment or failure to verify debt.
  • Arguing the debt falls outside the statute of limitations for collection.
  • Seeking to discharge portions of debt under bankruptcy protections.
  • Negotiating settlements for a fraction of the amount owed.
  • Helping secure alternative financing to pay off creditors at better terms.
  • Asserting anti-deficiency laws to limit liability on real estate loans.
  • Freezing collections through bankruptcy automatic stay.
  • Leveraging right of redemption to maintain ownership of key assets.

An experienced lawyer knows when and how to deploy each strategy based on the specifics of your debt situation.

Finding the Right Sacramento Business Debt Relief Lawyer for You

All Sacramento business debt relief lawyers are not created equal. It’s important to find one that makes you feel supported, clearly explains your options, and has a proven track record with relevant cases.

- -

Delancey Street is here for you

Our team is available always to help you. Regardless of whether you need advice, or just want to run a scenario by us. We take pride in the fact our team loves working with our clients - and truly cares about their financial and mental wellbeing.

"Super fast, and super courteous, Delancey Street is amazing"
Leo
$500,000 MCA Restructured Over 3 Years
"Thanks for helping me in literally 24 hours"
Jason
$250,000 SBA Loan Offer in Compromise
"Great choice for business owners who need a trustworthy partner"
Mary
$350,000 MCA Restructured Over 2 Years

In The Media

Delancey Street CEO discusses ways to reward employees
Delancey Street CEO discusses the benefits of franchising on Forbes.
Delancey Street CEO discusses management on AMEX.
Sacramento, California Timeshare debt relief lawyers

Sacramento Timeshare Debt Relief: Get the Legal Help You Need…

Largest Debt Settlement Companies

The Debt Settlement Landscape: Navigating the Largest Players Introduction So,…

Can MCA lenders freeze your bank account?

The Brutal Truth About MCA Lenders Freezing Your Bank Account…

Navigating Spousal Credit Card Debt: Your Obligations

Will you pay your wife’s credit card debt? It’s a…

Penn Credit Corporation: Debt Collection Experts

In the world of debt recovery, one name stands out:…

Delancey Street simply gets it. You're talking to experts.
Steven Norris
Get Help Today

Ready To Get Started?

If you have questions, feel free to shoot us an email, or fill out our live chat.

Schedule Consultation