In this video, Lisa Sumner, creditors' rights attorney with Nexsen Pruet, talks about the impact of Chapter 12 bankruptcy on debts owed to farm lenders.

Chapter 12 of the US Bankruptcy Code was enacted in response to the farm crisis in the 1980s. It provides qualifying family farmers with a more streamlined and less expensive way to reorganize their finances than in a Chapter 11 bankruptcy case. If you are familiar with how Chapter 13 bankruptcy cases work, then you’ll see that Chapter 12 has many similarities.