A company that may be able to make a significant change in the types of batteries used in cars across New Jersey and across the country filed for bankruptcy recently. The Chapter 11 bankruptcy filing came after a deal to sell control of A123 Systems Inc. to a foreign firm fell apart. The deal had come under pressure due to concern over some of the technology that could be transferred with foreign ownership.
Often consumers in one state, such as New Jersey, pay businesses from other states to assist them in efforts such as moving or shipping. When the item that the customer expected to be moved or shipped fails to arrive, about it can cause problems for the company that they hired. A company that customers from across the country paid to deliver boats from one state to another recently brought down its website and stopped answering phone calls. This came after the business filed for Chapter 7 bankruptcy protection.
Many readers in New Jersey know that when they file for personal bankruptcy, control of their assets goes to the trustee assigned to their case by the court. The trustee, in some cases, can sell assets in a personal bankruptcy to gain money to repay creditors. Recently, such assets have begun to be sold online through marketers such as Ebay as efforts to recoup creditor funds have intensified.
Some businesses in New Jersey may find that, in light of financial decline, they may require the protections offered in bankruptcy. This may be especially true when businesses can no longer pay the debts owed to creditors, leaving them financially disabled. In some cases, once the business has initiated bankruptcy, such as Chapter 11, they find that they cannot recover from their economic difficulties fully without liquidating some assets, or selling a portion of their business to another entity. Such sales, it is hoped, can offer some financial relief to a struggling business.