Which of the following statements about the Bankruptcy Code is false?

A) The Bankruptcy Code provides an organized procedure under the supervision of state courts for dealing with insolvent debtors.
B) The Bankruptcy Code ensures that the debtor's property is fairly distributed to the creditors and that some creditors do not obtain unfair advantage over the others.
C) The Bankruptcy Code protects all of the creditors against actions by the debtor that would unreasonable diminish the debtor's assets to which they are entitled.
D) The Bankruptcy Code provides the honest debtor with a measure of protection against the demands for payment by his creditors.

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Jacee Norizsan · Accepted Answer

Final Answer : A, Explanation :  The Bankruptcy Code is a federal law that provides an organized procedure under the supervision of a federal court for dealing with insolvent debtors.The Bankruptcy Code has several major purposes.One is to ensure that the debtor's property is fairly distributed to the creditors and that some creditors do not obtain unfair advantage over the others.At the same time,the code protects all of the creditors against actions by the debtor that would unreasonably diminish the debtor's assets to which they are entitled.The code also provides the honest debtor with a measure of protection against the demands for payment by his creditors.

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