voluntary bankruptcy


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Voluntary bankruptcy

The process where the debtor petitions the court for bankruptcy protection. Also see Involuntary bankruptcy.

Voluntary Bankruptcy

A situation in which a debtor files for bankruptcy with a court. That is, no creditor forces the debtor into voluntary bankruptcy. A debtor may file for bankruptcy if it finds repaying its debts difficult or impossible. There are different kinds of voluntary bankruptcy. A company may file for liquidation, where a company ceases operations and sells its assets to repay creditors as far as possible. Likewise, a company may file a reorganization plan where some or all debts are forgiven and the company puts itself on a path toward solvency. See also: Chapter 7, Chapter 11, Chapter 13.

voluntary bankruptcy

A bankruptcy initiated by the organization entering the bankruptcy rather than by that organization's creditors. Organizations generally enter voluntary bankruptcy to protect themselves from creditors' claims. Compare involuntary bankruptcy. See also Chapter 7, Chapter 11.
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Second, the borrower is often asked to covenant against a voluntary bankruptcy filing.
The Centre publishes free on the internet a number of fact sheets on credit and debt issues including negotiating with creditors, repossession of motor vehicles and voluntary bankruptcy.
FORMER Anglo Irish Bank chief David Drumm yesterday applied for voluntary bankruptcy in the US.
Stuck in a stalemate, the Rangers put themselves in voluntary bankruptcy, thinking they could push through a "pre-packaged plan" to exit them from Chapter 11 to Greenberg-Ryan.
Her financial advisors are said to be urging Fergie - who has laid off 11 staff - to enter voluntary bankruptcy, despite the embarrassment that would cause the Queen.
"However, the number of IVAs has shot up by 148% to 11,233, overtaking voluntary bankruptcy for the first time.
Brownderville, who owned B&L Used Cars & Parts and B&L Auto Salvage, listed $209,800 in assets, according to his voluntary bankruptcy petition filed in U.S.
Bankruptcy can be filed by debtors to obtain relief from the pressures of creditors (i.e., voluntary bankruptcy) or be forced by creditors (i.e., involuntary bankruptcy).When a bankruptcy petition is filed, an estate is formed to aggregate the debtor's assets as of the bankruptcy petition date, so that they can be distributed fairly.
Bryant, along with three other machine-tool companies operated by Goldman Industrial Group (Boston, Mass.), has been shuttered since Goldman's voluntary bankruptcy in February (see story on Fellows, opposite).
The glamour couple together operated some of Scotland's trendiest night spots, but their marriage has failed to survive the pressure of Colin's voluntary bankruptcy.
17(c) and will recognize that an appointed representative may file a voluntary bankruptcy petition on behalf of an infant or incompetent person.

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