Sometimes, it is not your choice to file for bankruptcy. When you owe large sums of money to many creditors, they may try to force you into filing for bankruptcy. In certain cases, they will get together and file a petition with the US Bankruptcy Court requesting that you file for either Chapter 7 or Chapter 11 bankruptcy.
If the petition is approved, then you will be made to file for bankruptcy. If it was decided to have been filed in bad faith, however, then you will be awarded damages from these creditors instead.
If you would like to learn more about involuntary bankruptcy, contact Tacoma, Seattle, Kirkland, Bellevue, Bremerton, Everett bankruptcy lawyer Ryan Nykamp today at 425-289-9873.