Exam 38: Bankruptcy

An automatic stay will prevent a creditor from creating a lien against the debtor's property.

After secured creditors in a Chapter 7 liquidation proceeding have been satisfied and there is enough money left to pay some, but not all other creditors, the claims of the same rank share the money on a pro rata basis.

Under Chapter , the bankruptcy estate includes wages earned after commencement of the case.

Able gets a judgment against Baker in state court for $50,000 on July 1.On July 15, Baker files a bankruptcy petition under Chapter 7.Which of the following is true?

The court has the sole right to accept or reject a Chapter 11 plan of reorganization.

A fraudulent transfer made on or within two years prior to filing a petition for bankruptcy can be avoided by the trustee.

Chapter 5 involves liquidation, whereas Chapters 7, 11, 12, and 13 involve reorganization and adjustment of debts.

All of the following are dischargeable in bankruptcy EXCEPT:

Most student loans cannot be discharged under Chapter 13.

In a Chapter 13 proceeding, only the debtor may submit a plan of reorganization.

No private employer may terminate the employment of or discriminate with respect to employment against an individual solely because he is or has been a debtor under the Bankruptcy Code.

Confirmation of a plan for reorganization under Chapter 13 may be given only if:

A court may confirm a Chapter 11 plan of reorganization that is not accepted by all classes of creditors if:

In an assignment for the benefit of creditors, if each creditor is paid an equal share of his original obligation, the debtor is then discharged from any further obligation to the creditor.

Duties of a trustee in a case under Chapter 11 include all but which of the following?

Which of the following is both a prejudgment and a postjudgment remedy for a creditor?

Donald has a $10,000 judgment against him for a debt owed to a creditor.If Donald files for bankruptcy and receives a discharge from the bankruptcy court, he will no longer be obligated to pay the judgment.

Federal district courts may hear all matters collateral to the bankruptcy, even if these matters are not normally permitted to be brought in federal court.

The estate of a debtor includes wages earned after commencement of a Chapter 7 liquidation proceeding.

Barb loaned Mark $500, which Mark agreed to repay on January 15, 2011.If Mark filed a voluntary petition of bankruptcy on August 1, 2010, Barb had a claim as a creditor.