PeptiImmune, Inc., a Massachusetts biotech concern, has had to declare Chapter 7 bankruptcy.
The Somerville company was trying to develop and market long-lasting drugs to treat multiple sclerosis. Unfortunately, they had stiff competition from generic version of MS drugs that are about to hit the market.
When a corporation files for Chapter 7, it involved liquidation of the company, which then is no longer in business. It’s different with individuals; since their beating hearts can’t be “liquidated,” Chapter 7 gives individual debtors (and married couples) a fresh start financially.
By Doug Beaton