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Instructions, Form B2500E 12.01.15 SUMMONS TO DEBTOR IN INVOLUNTARY CASE Purpose of the Form Bankruptcy cases can arise in two ways: An individual or business or municipality may file a voluntary.

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There are three types of bankruptcy creditors: secured, unsecured and priority.

Voluntary bankruptcy is where the debtor (individual owing money) applies to make themselves bankrupt. A creditor's petition (involuntary bankruptcy) arises when someone who is owed money by the debtor petitions for the debtor's bankruptcy.

Creditors can request involuntary bankruptcy if they think that they will not be paid if bankruptcy proceedings don't take place. They must seek a legal requirement to force a debtor to pay their debts. Typically, the debtor is able to pay their debts but chooses not to for some reason.

Involuntary bankruptcy begins when one or more creditors choose to file a petition with the bankruptcy court. It is important to note that involuntary bankruptcy can only be filed under Chapter 7 or Chapter 11 bankruptcy. Chapter 12 and Chapter 13 bankruptcy are not permitted.

Personal creditors: These are friends or family you owe money. Secured creditors: These lenders have a legal right — often through a lien — to property you used as collateral to secure the loan. Unsecured creditors: A credit card issuer is a good example of this type of creditor.

A creditor with a secured debt usually will not need to file an involuntary bankruptcy petition because they can simply take the asset.) Creditors must meet certain criteria before they may commence an involuntary bankruptcy action.

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© Copyright 1997-2025
airSlate Legal Forms, Inc.
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Form Packages
Adoption
Bankruptcy
Contractors
Divorce
Home Sales
Employment
Identity Theft
Incorporation
Landlord Tenant
Living Trust
Name Change
Personal Planning
Small Business
Wills & Estates
Packages A-Z
Form Categories
Affidavits
Bankruptcy
Bill of Sale
Corporate - LLC
Divorce
Employment
Identity Theft
Internet Technology
Landlord Tenant
Living Wills
Name Change
Power of Attorney
Real Estate
Small Estates
Wills
All Forms
Forms A-Z
Form Library
Customer Service
Terms of Service
DMCA Policy
About Us
Blog
Affiliates
Contact Us
Privacy Notice
Delete My Account
Site Map
Industries
Forms in Spanish
Localized Forms
State-specific Forms
Forms Kit
Legal Guides
Real Estate Handbook
All Guides
Prepared for You
Notarize
Incorporation services
Our Customers
For Consumers
For Small Business
For Attorneys
Our Sites
US Legal Forms
USLegal
FormsPass
pdfFiller
signNow
airSlate workflows
DocHub
Instapage
Social Media
Call us now toll free:
1-877-389-0141
As seen in:
  • USA Today logo picture
  • CBC News logo picture
  • LA Times logo picture
  • The Washington Post logo picture
  • AP logo picture
  • Forbes logo picture
© Copyright 1997-2025
airSlate Legal Forms, Inc.
3720 Flowood Dr, Flowood, Mississippi 39232