Asked by Shaylie Pickrell on Jun 26, 2024
Verified
If a debtor files a petition in bankruptcy, then the bankruptcy is considered a(n) _______bankruptcy.
A) involuntary
B) voluntary
C) volunteer
D) free
Voluntary Bankruptcy
The act of an individual or business initiating bankruptcy proceedings on their own accord as a means to manage insurmountable debt.
- Acquire knowledge about the legal outcomes of involuntary compared to voluntary bankruptcy and the standards for each.
Verified Answer
GH
Gabriel HUBERJun 29, 2024
Final Answer :
B
Explanation :
When a debtor files a petition in bankruptcy on their own behalf, it is considered a voluntary bankruptcy. This contrasts with involuntary bankruptcy, which occurs when creditors file the petition against the debtor.
Learning Objectives
- Acquire knowledge about the legal outcomes of involuntary compared to voluntary bankruptcy and the standards for each.
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