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Many California residents have been enjoying the last couple of years, financially speaking. Things have been on the uptick ever since the 2008 economic depression (caused by the housing market collapse), and though things still are not quite back to where they were, it certainly appears we are on our way.

However, even in good times, there are those that need help sorting out their financials. There are still many people struggling with the possibility of foreclosure, and many more struggling to find work or to keep up with their bills.

Filing for Chapter 13 takes a lot of steps, and one of those steps is to get approval from a judge. If they approve your debt reorganization plans under the Chapter 13 filing, then a trustee will be appointed to your case to ensure you stay on track with your payments and that your financial situation remains in line with what the judge and your creditors expect.

If administered correctly, a business or commercial reorganization through bankruptcy can be in some cases a boon for both debtors and creditors alike. However, these sorts of reorganizations have to be handled delicately as any objections by creditors can jeopardize the entire bankruptcy filing.

One bankruptcy concerning a California-based publisher has now been placed upon hold because lenders felt the reorganization plan “was orchestrated to benefit the company’s newest executives and their friends at a financial firm” retained to sell the publishing company. The lenders in question have apparently loaned the company as much as $41 million, which makes up a substantial part of the $100 million in debt claimed.

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