Creditors can be demanding to the point that a Florida company must begin to consider strategic legal and business moves in order to remain intact. One creative option that some companies use is Chapter 11 bankruptcy. During the proceedings, creditors are kept at bay, which provides the companies that file the time they need to reorganize their finances.
This is what an almost 100-year-old recycling and trash company in New England is doing. The company recently filed for Chapter 11 bankruptcy, but not because its owners consider it to be in financial distress. The company has a creditor that was demanding to take possession of some of the company's property, and the owner did not want that to happen. He sought the protections provided by the U.S. Bankruptcy Code, including the stay that halts all collection activities by creditors.