Louisiana Bankruptcy Law

Louisiana bankruptcy law, like federal bankruptcy law, allows individuals and businesses to seek relief from overwhelming debt. In Louisiana, bankruptcy options primarily include Chapter 7 (liquidation) and Chapter 13 (reorganization). Chapter 7 can eliminate most unsecured debts, but may require selling some assets. Chapter 13 allows debtors to keep their property while creating a court-approved repayment plan over 3 to 5 years. Louisiana's unique legal system includes local rules and exemptions. Consulting a local attorney knowledgeable in both federal and state laws is advisable for tailored guidance based on individual circumstances.