Making the decision to utilize a Chapter 12 restructure
MAKING THE DECISION This is the and final article in our series on Chapter 12 Farm Restructure (also see The Basics and The Process ). As has been explained, Chapter 12 is part of the bankruptcy code that exists to give farmers a chance to restructure their farms. Had chapter 12 existed in the 1980’s, the number of farms going out of business likely would have been a lot less. As a young boy, I remember the 1980’s farm crisis. Most of you reading this article no doubt remember the difficulties of farming in that decade. Current times in farming are no doubt difficult. Although some parallels with the current farm economy can be drawn to that of the 1980’s, at least interest rates are not 18% like they were in the 1980’s. However, at the end of the day, we still are faced with the fact that farm income has dropped over 40% since 2012. Also, we are still faced with the fact that for many producers the cost of production exceeds income from crop production. These are no