Jon B. Clarke Attorney

Denver Bankruptcy Attorney – Protection you can Trust

For two decades, the Law Office of Jon B. Clarke, P.C. has built a reputation of fighting for the rights of consumers and businesses. Prior to opening his firm, Colorado Bankruptcy Attorney Jon B. Clarke was a shareholder and director of Clarke & Waggener, P.C. – a downtown Denver firm founded in 1966.

A second-generation Colorado bankruptcy lawyer, Mr. Clarke brings more than 35 years of experience to work on behalf of his clients. And he has been named a top attorney in Colorado’s SuperLawyer magazine – one of only a few consumer bankruptcy lawyers to achieve such distinction.

Currently, Mr. Clarke does not represent individuals in Chapter 13 bankruptcy but will refer you to experienced legal counsel in that area of law. Instead, the firm prefers to focus its attention on the area of insolvency and business bankruptcy filings, particularly Chapter 7 and Chapter 11 bankruptcy filings.

Chapter 7 Bankruptcy in Denver

Chapter 7 bankruptcy may be filed by an individual or business struggling with debt. Also called a liquidation bankruptcy, it traditionally means assets are liquidated by a trustee and proceeds are distributed to creditors.

As a practical matter, it is not unusual for there to be few, if any, assets – so “liquidation bankruptcy” can be a bit of a misnomer. An upside down mortgage, for instance, or maxed out credit lines, are not assets. A business may stop operating as a result of a Chapter 7 bankruptcy, or it may continue operation under a Chapter 7 trustee. In many cases, the creditworthiness of a business and the creditworthiness of its owners are one and the same. This is particularly true of small businesses, partnerships and sole proprietorships. In such cases, liberating an owner of an unsustainable debt load can also liberate a business.

An individual can keep exempt property. Some liens, mortgages and car loans can survive. Most types of unsecured debt, such as credit card debt, are discharged.

Chapter 11 Bankruptcy in Denver

A Denver bankruptcy lawyer may also advise a business to enter Chapter 11 bankruptcy protection in Colorado. This form of bankruptcy is also called reorganization and protects a business until it can return to profitability.

During a Chapter 11 bankruptcy, owners continue to operate the business as usual. With the help and oversight of the court, the business works to resolve outstanding debts with creditors. In some cases, a reorganization plan cannot be agreed upon, and a Chapter 7 action is initiated.

A Chapter 11 bankruptcy can breathe new life into a struggling business. However, this complex process should always be done with the help of experienced legal counsel.

Colorado Debt Relief Attorneys

The Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 poses restrictions on both consumers and bankruptcy providers. At the Law Offices of Jon B. Clarke, we will help you understand the disclosures, notices and other legal requirements. While this Congressional act was meant to stop alleged consumer abuses of the system, the reality is that it has been the abuse of consumers by credit card companies, banks, commercial lenders and other financial institutions that has led to the record numbers of bankruptcy filings in recent years.

As a veteran Denver bankruptcy attorney, Jon B. Clarke and the staff at our law offices understand the anger and frustration many consumers and business owners experience when finances reach the breaking point. We also know the relief that comes with a fresh financial start and a new beginning.

A word about cost. Those concerned only with price are often attracted to bankruptcy mills that advertise a low flat fee – such as $499 or $599. Other attorneys charge a flat fee ranging from $1,000 to $2,500. These fees can be misleading. Mills have been accused of “bait and switch,” with fees ultimately being substantially higher. Bankruptcies that involve lawsuits, divorce, businesses or tax issues can be complex. When seeking an attorney the National Association of Consumer Bankruptcy Attorneys recommends looking for experience, education and competence and someone who will listen to you.

Colorado Bankruptcy & 2005 Reforms

Banks and other creditors had hoped to make it harder for consumers to file for liquidation bankruptcy by establishing a means test to compare debt to income. The argument was that consumers were getting off easy.

One residual benefit lending institutions have gained from 2005 reforms is the often erroneous belief held by consumers and business owners that they will not qualify for bankruptcy protection.

In 2010, a total of 32,509 Colorado bankruptcies were filed, including 27,113 Chapter 7 filings and 182 Chapter 11 filings. In 2003, before reforms were enacted, just 23,067 bankruptcies were filed.

In 2003, just under 90 percent of all bankruptcies were filed as Chapter 7 liquidations. In 2010, about 84 percent of all bankruptcies filed in Colorado were Chapter 7 liquidations.

Nearly 25,000 bankruptcy cases were filed in the Denver area in 2010, according to the U.S. Bankruptcy Court for the District of Colorado.

As we saw throughout the Great Recession, it has been the irresponsible lending and questionable practices of lenders that have led consumers to the financial breaking point. The result has also been fewer small business loans, lines of credit and reduced access to commercial capital.

What has not changed is the power of bankruptcy protection, which continues to offer consumers and businesses alike all the tools necessary to negotiate with creditors from a position of strength.

Steps to Filing Bankruptcy in Colorado

At the Law Office of Jon B. Clarke, P.C., our focus on bankruptcy, combined with decades of experience, has allowed us to develop an efficient, web-based procedure that limits the number of office visits that will be required. We value your time. And we value your privacy. And, while some very complex cases may require additional office visits, we strive to make the process run smoothly, to keep you informed, and to process your case in a timely fashion.

We are committed to helping clients obtain a fresh start with mortgages, car loans, personal guaranty, credit card debt or other debt relief. Serving all of Colorado and the Denver area, including Littleton, Lakewood, Centennial, Lone Tree, Greenwood Village, Englewood, Highlands Ranch, Parker, Elizabeth, Castle Pines, and Castle Rock. To get started, please complete our Business or Consumer Debtor Analysis form. Or call toll free (303) 779-0600.

Colorado Bankruptcy – (866) 916-3950 – 30 Years of Service