Chapter 11 bankruptcy is often referred to as “reorganization” bankruptcy because it allows you to restructure your debts and make reduced payment arrangements while maintaining ownership of your property. However, an individual may also use a Chapter 11 process for an “orderly liquidation” of assets.
Individual Chapter 11 debtors are usually able to keep their assets including but not limited to real estate, cars, complete ownership of businesses, and household furnishings. In fact, Individual Chapter 11 cases are often used to reorganize the mortgages or other liabilities encumbering real property when a debtor does not qualify for such relief under Chapter 13 because their case is too complex or they have too much income, too many assets and/or too many liabilities.
All bankruptcy proceedings have dischargeable and nondischargeable debts.