Exam 24: Bankruptcy and Reorganization

The filing of a voluntary or an involuntary petition suspends certain legal actions by creditors against the debtor or the debtor's property.This is called an automatic ________.

Gifts,inheritances,and life insurance proceeds that the debtor is entitled to receive within ________ days after the petition is filed become part of the bankruptcy estate.

A debtor must receive pre-petition credit counseling within 180 days prior to filing his or her petition for bankruptcy.

An individual,partnership,or corporation may be a debtor in a Chapter 7 proceeding.

The United States Congress enacted the original federal Bankruptcy Act in 1978.

In certain circumstances,a company in reorganization bankruptcy may reject a collective bargaining agreement with its employees.

Federal bankruptcy exemptions include an interest of up to $25,000 in equity in property used as a residence.

Bankruptcy proceedings are commenced under:

The debtor has the exclusive right to file a plan of reorganization with the bankruptcy court within the first 150 days after the date of the order for relief.

The dissolution of a marriage is "stayed" by the filing of a voluntary or involuntary bankruptcy petition.

Which of the following is true about exemptions for an individual in Chapter 7 bankruptcy?

Great North Corporation has 35 creditors who are owed a total of $400,000.Great North has assets far in excess of $400,000,but is not paying its debts as they come due.Johnson Corporation and Jimmy Corporation,each of whom is owed $15,000 by Great North Corporation,together file an involuntary bankruptcy petition under Chapter 7.Which of the following is true?

The Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 requires an individual filing for bankruptcy to receive pre-petition and post-petition credit counseling.

Chapter 13 is a ________ form of bankruptcy for individuals.

Bankruptcy judges are elected for four-year terms.

Bankruptcy courts are part of the state court system.

The Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 has been praised by many businesses,banks,and credit card issuers.

Small business bankruptcies apply to companies with assets of less than $5 million.

A debtor and a creditor can enter into a(n)________ agreement,whereby the debtor agrees to pay the creditor for a debt that is dischargeable in bankruptcy.

What is an exemption under the bankruptcy laws?