A petroleum company based out of Texas is seeking Chapter 11 bankruptcy with one of its subsidiaries. The joint petition was presented to a bankruptcy judge last week in Dallas. Due to years of lagging profits and increasing costs, C.P.I. and its subsidiary filed for Chapter 11 bankruptcy protection. The company presented its case to a federal judge last week. It claims that there is no capacity to borrow funds, several loan agreements have defaulted and there is negative working capital.
Before the company filed for bankruptcy, it entered into an agreement with an outside party. This Stock Purchase Agreement was discussed in court as well since the company would like to solicit additional bids for the company’s assets as it goes through the reorganization process. If your company is facing financial adversities and you are wondering what you can do to keep your business, you should take the time to contact the Malaise Law Firm. Once contacted, you’ll have a chance to speak with a San Antonio bankruptcy attorney from our team about your legal and economic options so you can try to keep your company running as you address your financial challenges.