Question 1

Ramona has received a discharge in bankruptcy,but wants to reaffirm a debt to her sister.To be valid,the reaffirmation

Accepted Answer

A) will be scrutinized by the court to make sure her sister has not unfairly pressured Ramona. 
B) will be automatically disallowed because allowing Ramona to promise to pay a discharged debt would be contrary to the goals of the bankruptcy proceedings. 
C) will be automatically allowed if Ramona voluntarily chooses to make it. 
D) must clearly disclose that Ramona has the right to rescind at any time since the debt was already discharged. 
A) will be scrutinized by the court to make sure her sister has not unfairly pressured Ramona. 
B) will be automatically disallowed because allowing Ramona to promise to pay a discharged debt would be contrary to the goals of the bankruptcy proceedings. 
C) will be automatically allowed if Ramona voluntarily chooses to make it. 
D) must clearly disclose that Ramona has the right to rescind at any time since the debt was already discharged.

Question 2

Kathleen filed for voluntary bankruptcy and the automatic stay went into effect.The automatic stay

Accepted Answer

A) acts to automatically discharge Kathleen's debts. 
B) prohibits creditors from collecting debts against Kathleen that arose before she filed bankruptcy. 
C) stops only secured creditors from taking any act to collect, assess, or recover a claim against Kathleen that arose before she filed bankruptcy. 
D) stops creditors from trying to collect from Kathleen, but it does not stop them from filing lawsuits against her. 
A) acts to automatically discharge Kathleen's debts. 
B) prohibits creditors from collecting debts against Kathleen that arose before she filed bankruptcy. 
C) stops only secured creditors from taking any act to collect, assess, or recover a claim against Kathleen that arose before she filed bankruptcy. 
D) stops creditors from trying to collect from Kathleen, but it does not stop them from filing lawsuits against her.

Question 3

Brad was having financial difficulties and thought bankruptcy might be in his future.He transferred his sports car to his brother with the agreement that if he didn't file for bankruptcy within the next 18 months,his brother would return the car to him.Brad did file for bankruptcy in ten months.The bankruptcy trustee can bring the car back into Brad's estate for the purpose of providing assets for Brad's creditors.

Accepted Answer

A) True 
 B)False

Question 4

A Chapter 7 debtor's agreement to pay a creditor on a debt after receiving a discharge in bankruptcy is called a

Accepted Answer

A) voidable preference. 
B) reaffirmation. 
C) fresh start. 
D) redemption. 
A) voidable preference. 
B) reaffirmation. 
C) fresh start. 
D) redemption.

Question 5

Debts that cannot be discharged in bankruptcy include all EXCEPT

Accepted Answer

A) money owed for alimony. 
B) income taxes for 3 years prior to filing. 
C) money owed to utility companies. 
D) money obtained fraudulently. 
A) money owed for alimony. 
B) income taxes for 3 years prior to filing. 
C) money owed to utility companies. 
D) money obtained fraudulently.

Exam 36: Bankruptcy

Ramona has received a discharge in bankruptcy,but wants to reaffirm a debt to her sister.To be valid,the reaffirmation

Kathleen filed for voluntary bankruptcy and the automatic stay went into effect.The automatic stay

A Chapter 7 debtor's agreement to pay a creditor on a debt after receiving a discharge in bankruptcy is called a

Debts that cannot be discharged in bankruptcy include all EXCEPT

Introduction to Law

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