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Oreck Family Loses Bid to Get Company Out of Bankruptcy

Bankruptcy is not just for the average person and individuals in all types of situations can find themselves needing assistance in their financial situations. Countless celebrities have made the decision to file, in spite of what may seem like a limitless income to onlookers. Businesses can also find themselves needing to file, either to get back on their feet or to end the productivity of the company in the most effective manner possible.

Oreck is a company that is known for its revolutionary use of the upright vacuum that it originally began selling to hotels in 1963. Founder David Oreck sold the company to American Securities Capital Partners around 10 years ago and since that time it has been passed around to other owners. The company recently went up for auction after becoming bankrupt. The starting bid was made by Tom Oreck himself but it was the Royal Appliance Manufacturing Co, bid of $24.4 million that was the final winner. A hearing has been scheduled in the U.S. Bankruptcy Court in Nashville for the purpose of approving the sale.

Depending on the situation of a business there are different options that are available through bankruptcy. Some companies are able to consolidate their debts into a payment plan that will last for a few years. Others may need to take more drastic measures that may cause them to lose a lot of their assets but can eventually free them from their debts and allow the ability to begin again.

If you are a business owner or an individual that is facing debt, find out what the right choice for your needs is by speaking to a Chicago bankruptcy lawyer from Smith Ortiz, P.C. We also work with the alternatives to bankruptcy, when a loan modification, short sale or other options is a better fit.

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