Exam 38: Bankruptcy

Creditors may join together to force a debtor into bankruptcy, called an involuntary bankruptcy.

Household effects and personal clothing is exempt from seizure for the payment of debts.

Which of the following best describes cram down?

What are the distinguishing features of a Chapter 13 plan?

Debts due on a judgment for intentional injury to others cannot be avoided by bankruptcy.

A husband and wife cannot file a bankruptcy petition jointly.

Which of following debts can be avoided by bankruptcy?

Which of the following can file for bankruptcy under Chapter 11?

State the debts that cannot be avoided by bankruptcy. ​

Bankruptcy law uses different procedures in liquidating the estate under a voluntary bankruptcy proceeding and an involuntary one.

In order to obtain a discharge, debtors must either attend prefiling credit counseling.

Which claims have the lowest priority in payment?

Which of the following is prohibited 90 days prior to filing a bankruptcy petition?

Jake, a businessman, filed for bankruptcy and was declared insolvent by the courts. He owed $15,000 each to two creditors and $5,000 each to two others. The courts also decreed that he should sell his house worth $30,000, to pay his debts. Which of the following is legally permissible in this scenario?

Partially secured creditors have a lien on some assets, but not enough to satisfy the full amount of their claim.

Under Chapter 11, the Bankruptcy Code provides a special rehabilitation system designed for businesses so that they may be reorganized rather than liquidated.

Which of the following is true of bankruptcy petitions?

Any person who has a property in the United States can be a debtor under the Bankruptcy Code. ​

A cram down can be imposed even if dissenting unsecured creditors are not paid in full.

Claims for alimony and child support can be avoided by bankruptcy.