Bankruptcy

Gentlemen, Please Do Not Start Your Engines

By writer

It?s come to this?even the drag racers have been hit hard by the flagging effects of the sinking economy that?s sweeping the country.

The General Motors Corp. bankruptcy is apparently leaving more than just its employees in its lackluster dust. The Detroit auto-maker recently filed papers with the U.S. Bankruptcy Court in Manhattan in which the once king-of-the-road manufacturer requested the court?s OK to reject 30 contracts, including four team agreements with the National Hot Rod Association, the country?s definitive drag-racing circuit.

If the courts acquiesce to GM?s request, some of the sport?s top teams may lose their relationship with the maker of the quintessential American ?muscle cars?. The car manufacturer refused to sell these sponsorships, as well as a number of other contracts, to the government-backed body, preferring instead for those deals to be dealt with as bankruptcies. The reason behind this decision are not being disclosed by company spokespeople.

The question of the Fed?s bailout of General Motors has been discussed ad nauseum in the national press and around the kitchen table of just about every American family as they enjoy their ever-dwindling slice of apple pie. What will happen to all of the factory workers and their families in Detroit (aka Motor City) as well as to all of the GM plants and dealerships across the country?

Earlier this summer, GM announced that they are closing nine plants and placing three others on indefinite suspension. These closings will devastate towns in Michigan, Indiana, Tennessee, Delaware, Virginia and Ohio. With six plant closings in Michigan alone, families in the industrial state are sure to be feeling the pinch in ever deepening ways. The impact affects the coffers of municipalities and can be clearly seen in the vacant offices and storefronts of downtown areas as well as in the hundreds of foreclosed homes lining the state?s residential neighborhoods.

Personal bankruptcy for these unemployed auto workers may be a viable option to help make a fresh start and continue supporting their families. With a number of different chapters (options) under which to file for court-directed bankruptcy protection, cash-strapped families may be able to save or sell their homes and shelter any remaining assets.

If you?re are drowning in debt there is a solution. Call Legal Helpers now and speak with a skilled attorney with a focus in bankruptcy. You life CAN be better and you CAN have a fresh start. Contact us today.

Full post as published by Consumer Bankruptcy Blog from Legal Helpers on July 20, 2009 (boomark / email).