Asked by Mikerlange Charles on May 14, 2024
Verified
Who can attempt to force a debtor into bankruptcy by filing an involuntary petition under Chapter 7?
A) A court
B) An employer
C) Creditors
D) The state
E) Family members owed money
Involuntary Petition
A legal process initiated by creditors requesting the bankruptcy court to declare a debtor as bankrupt.
Creditors
Individuals or entities to whom money is owed by another individual or entity.
Chapter 7
A bankruptcy process providing for the liquidation of a debtor's non-exempt assets to pay off creditors.
- Distinguish between voluntary and involuntary bankruptcy petitions.
Verified Answer
GV
Gilda VazquezMay 19, 2024
Final Answer :
C
Explanation :
Creditors can attempt to force a debtor into bankruptcy by filing an involuntary petition under Chapter 7, as a means to recoup some of the debts owed to them.
Learning Objectives
- Distinguish between voluntary and involuntary bankruptcy petitions.
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