Act of Bankruptcy

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Act of Bankruptcy

An action by a debtor that can be a basis for creditors to file a bankruptcy petition against the debtor. Examples of such actions are concealing assets, defrauding creditors, favoring one creditor over another, or admitting in written a willingness to be adjudged bankrupt.

Act of Bankruptcy

An involuntary admission of bankruptcy by a debtor. In general, going into default and consistently missing payments may be considered acts of bankruptcy. Before 1978 in the United States, an act of bankruptcy involved the transfer of assets to another party with the intent to defraud creditors, but this is no longer the case. Upon committing an act of bankruptcy, creditors have the ability to petition to force the debtor into legal bankruptcy.
References in periodicals archive ?
it passed the Bankruptcy Act, and therefore such provisions must be
58) The Court then overruled Kesler and Reitz, and held that the part of the Arizona Act that conditioned the issuance or renewal of a driver's license and a vehicle registration on the satisfaction of a judgment stemming from a motor vehicle accident, even if that judgment had been discharged in bankruptcy, violated the Supremacy Clause because it frustrated the "full effectiveness" of the Bankruptcy Act, which was intended to give debtors "a new start unhampered by the pressure and discouragement of preexisting debt.
Over a decade after ratification, Congress would pass the first of many federal bankruptcy laws--the Bankruptcy Act of 1800.
The asset protection exemptions provided by the federal Bankruptcy Act and the supporting Supreme Court decisions certainly give a green light to accumulating large IRA balances with the assurance of protection from bankruptcy creditors.
22) See Bankruptcy Act of 1898 [section]67d ("Liens given or accepted in good faith.
36) However, it was only in 1924 that the Commonwealth Government enacted the Bankruptcy Act 1924 (Cth), albeit that Act did not contain the relevant section.
Secondly, under section 86 of the Bankruptcy Act Investec was entitled to deduct by way of set off, in extinguishment of Mr Rolfe's claim against Investec, Mr Rolfe's liability to Investec as surety for the debt obligation of Glodale.
Sacreena Sanders admitted aiding and abetting the failure to disclose, all offences under the Bankruptcy Act.
Under both the Dodd Frank Act and the 2005 Bankruptcy Act, derivative claims have super-priority over all other claims, secured and unsecured, insured and uninsured.
While thousands of companies have gone through bankruptcy and emerged intact, only a relative handful American cities have made Chapter 9 filings since the Bankruptcy Act was amended in 1934 to include municipalities.
290) Recall that section 77B of the Bankruptcy Act of 1898, enacted in 1934, strengthened the jurisdictional reach of the court in which a reorganization was pending, made it easier to bind dissenters, and eliminated the need to engage in a fictitious judicial sale to conclude the process.
28) When the English Parliament passed the first bankruptcy act in 1542, consumer credit and debt were considered immoral.