For family farmers in Northeast Arkansas, a year of bad weather, a failed crop season, or a sudden drop in market prices can quickly turn a profitable season into a financial crisis. The burden of high-interest equipment loans, overdue property taxes, and secured loans can feel overwhelming, threatening the very land you’ve worked for generations. At Crawley Law Firm, we understand the unique pressures facing the agricultural community in the Arkansas Delta, and we want to let you know that there’s a powerful tool available to help: Chapter 12 bankruptcy.
Chapter 12 isn’t a sign of failure; it’s a strategic legal tool designed by Congress specifically for family farmers and fishermen. It offers a path to reorganize your debt, protect your assets, and secure your livelihood.
Reorganize Your Debt on Your Own Terms
One of the greatest benefits of Chapter 12 is the ability to create a manageable repayment plan. Unlike other types of bankruptcy, Chapter 12 is flexible enough to account for the unpredictable income of a farming operation. The plan typically lasts three to five years, and it can be used to:
- Restructure secured loans, such as those for farm equipment, land, or vehicles.
- Catch up on past-due mortgage payments and stop foreclosure on your farm or home.
- Manage unsecured debts, such as credit card balances and medical bills, by paying only a portion of what is owed.
This process gives you the breathing room you need to keep your operation running while you get back on solid financial footing.
Stop Foreclosures and Protect Your Assets
When a creditor threatens to foreclose on your land or repossess your equipment, the stress can be unbearable. Filing for Chapter 12 bankruptcy immediately triggers an “automatic stay,” a powerful legal injunction that stops all collection efforts. This means:
- Creditors must immediately cease all phone calls and letters.
- Foreclosure proceedings are halted.
- Your farm equipment, vehicles, and other critical assets are protected from repossession.
This “automatic stay” provides immediate relief and gives you the necessary time to work with your attorney to develop a comprehensive repayment plan that serves your best interests.
The Crawley Law Firm Difference in Northeast Arkansas
We have a deep understanding of the local economy and the specific challenges faced by farmers in this region. We know that the value of rice, soybeans, and cotton can fluctuate wildly, and we are prepared to create a plan that reflects the reality of your business. We will work with you to:
- Determine your eligibility for Chapter 12.
- Calculate a realistic and fair payment plan based on your income and expenses.
- Handle all communication and filings with the U.S. Bankruptcy Court.
You have dedicated your life to your land. Let us help you protect it. Contact Crawley Law Firm today for a confidential consultation to discuss how Chapter 12 bankruptcy can provide the debt relief you need to save your farm and secure your family’s future.
Skip to content