The satellite cable company Dish Network won the bid to take over the troubled video rental chain Blockbuster, according to the LA Times. Blockbuster entered Chapter 11 bankruptcy, like many other companies who are aided by bankruptcy attorneys, in September and whittled down its more than one billion dollars in debt. A number of companies put in bids for the chain but Dish won with a 320 million dollar bid but is awaiting approval from the courts.
Blockbuster saw its sales decline with the video market becoming increasingly digital and catering to the online consumer. In the past year Blockbuster had to close nearly half of their nationwide stores much like Border’s that also fell saw a decline in sales. Businesses can fail and need to facilitate bankruptcy lawyers if they can’t keep up with our increasingly digital age.
Despite the decline of bankruptcy filings in February, still find themselves struggling in the current economic climate. Asking for debt relief can save a business like Blockbuster from crumbling.
Individuals like businesses are suffering from debt. Most often people must hire bankruptcy attorneys to offer relief from debt and many state medical bills as their primary reasons in spite of having health insurance. Unlike a business that can sell off their assets to assuage their debt, people must enter the bankruptcy courts to reach settlements. There are a few ways in which financial liabilities can be restructured in order to keep debtors off the backs of fraught people.
