Serving Maryland and District of Columbia
Personal and Business Bankruptcy: Chapter 7, Chapter 11, Chapter 13
Conversion is when a court order changes the bankruptcy proceeding from a Chapter 11 case to a Chapter 7. This means the debtor must immediately stop all of its business operations. A Chapter 7 trustee is appointed who has the responsibility to assemble and liquidate all of the debtor's assets, and the proceeds pay the claims of creditors.