bankruptcyThere is no clear definition of (Tosan), but in generalEconomic agentIs financially bankrupt and is in repaymentdebtGenerally means that it will not be reimbursed and it will not be possible to continue economic activity (or such fear will occur).

If you are a corporation,BankruptcyAlso called (Keieitan). It should be noted that if one company goes bankrupt, affiliated companies and trading companies will go bankrupt in a chain.Chain bankruptcy(Len Sato).

Also, in Japan, "the companyCrushThere are also popular expressions such as "that company has collapsed."

The process or procedure for payment to a creditor by a bankruptcy economic entity,Bankruptcy processingNoBankruptcy (processing) procedureThere is a distinction between private/legal and clearing/reconstruction type.

In the case of Japanese bankruptcy proceedings,bankruptcy,Company rehabilitation,民事 再生and so on. Bankruptcy proceedings may be initiated by a creditor, a debtor (bankruptcy) himself, or as a special case, initiated by a supervisory authority.

History

Western

The Old TestamentAnd in the Jewish scriptures,モ ー セOf the Law says that the Holy Year (the year of Jobel) comes every fifty years, and by heavenly command, all debts are removed among the Jews and all debt slaves become free.^[1].. In addition, the BibleDeuteronomyAt 15:1-2, you can see the Hebrew (Jewish) law of debt relief, which orders debt relief every seven years.

The Ancient GreekThen, there was no such thing as bankruptcy. If my father was in debt (only adult men born in the cityCitizenThe legal owner of the property was the "father." ), if he could not pay it, his entire family (wife, children, servants) was held in debt until the creditors regained their losses through their labor. Much of ancient GreeceCity stateIn that case, the period of debt slavery was limited to 5 years, and debt slaves were protected in terms of life and limbs. This was a protection not given to ordinary slaves. However, with respect to the servant of the debtor, the creditor may cross the line, and the new master was often served until his death. In such cases, working conditions were usually much harsher than before.

The word bankruptcy in English is ancientLatin Ofbancus(Stand, table) andruptusGenerated from (broken). Originally, bank refers to a stand. Old bankers have pedestrians and collect money in public places, markets and fixed markets.Bill of exchangeI was writing. So when the banker went bankrupt, he broke the pedestal and informed the public that the owner of the pedestal was no longer in business. This practice isItalyThe word bankruptItalian Ofbanco rotto It is said that it comes from (broken bank). But,French Ofbank(Table) androadSome say it came from (traces, footprints). This is a metaphor of a mark on the ground of a table that was previously fixed to the ground but is now gone. Those who think this way, the origin of the bankruptcy isAncient rome Of mensarii , argentarii Let's go back to They are in public places tabernae , mensae When I fled at night or with the money I had been entrusted with, I left only the traces of my position in the mark.

Under British and American law, a bankruptcy system with debt relief was introduced in 1705.Queen AnneUnder the statute of the age, insolvency debt was granted an exemption as a reward for bankruptcy who helped collect assets to make as much payment as possible.

East Asia

East AsiaBut there are still records of bankruptcy.Genghis KhanThe Code states that if you go bankrupt three timesDeath penaltyThere was a regulation to impose.

modern

現代 のBankruptcy legal systemAnd businessDebt consolidationHas focused more on financially and systematically rebuilding debtors in financial distress and allowing them to rehabilitate and continue their operations, rather than liquidate and eliminate insolvents.

Japan

Overview

In the legal writingbankruptcy,民事 再生Although the word "bankruptcy" may be used as a general concept of so-called legal bankruptcy procedures such as, it is not a term defined by law. In the Meiji era, as a translation of faillite in French, "bankruptcyOr the word "bankruptcy" was used, but the word "bankruptcy" is now used by law.^[2].

As an everyday term, it is sometimes used with a limited nuance, such as management getting stuck and the company disappearing, but the economic entity targeted for bankruptcy isCompanyNot only individuals (Natural person) Is also included. Also includes companyCorporationEven if is an economic entity, there is no guarantee that the corporation will disappear because of the rehabilitation-type bankruptcy procedure.

About the bankruptcy of the company since the late 1990sNews (Chinese)Such asNews reportIn that case, the term "business failure" (or simply "failure") is often used. In everyday terms, "(the company) collapses" is used in almost the same way as bankruptcy.

There is no clear standard for when to evaluate bankruptcy,Tokyo Shoko ResearchIn this case, a company is said to be "bankruptcy" when the following situations occur:^[3].Empire data bankBut using the same criteria^[4].

• Second time within JuneBillUnpaidPut outBank transactionWhen you receive a suspension
• When the petition for the following legal arrangement procedure is filed in the court
  • Corporate rehabilitation lawReorganization procedure based on
  • Civil Rehabilitation LawRehabilitation procedure based on
  • bankruptcyprocedure
  • Special clearing
• When voluntary organization (private organization, internal organization) is started

It is a method of debt consolidation through discussions with creditors instead of legal bankruptcy proceedings.

In addition, employment insurance OfSpecific recipientThe definition of a person who left the job due to "bankruptcy" of

1. Persons who left the company due to bankruptcy (bankruptcy, civil rehabilitation, filing of bankruptcy proceedings such as corporate rehabilitation, or suspension of bills transactions)
2. More than one-third of the insured persons employed by the employer have resigned due to the notification of large-scale employment fluctuations (planned to leave more than 1 people per month) at the establishment. Those who left the job because they did
3. Persons who left the company due to the abolition of business establishments (including cases where there is no prospect of reopening after business activities are suspended)
4. Persons who left the job because it became difficult to commute to work due to the relocation of the office

a. The above 1. and 3. (arbitrary arrangement) correspond to the definition of bankruptcy at Tokyo Shoko Research and Teikoku Databank.

In the middle of every month, the number of bankruptcies in the previous month (April also the number of bankruptcies in the previous year) will be announced through the mass media, which is based on the press release issued by Tokyo Shoko Research and Teikoku Databank to each media company. Teikoku Databank removed "bank transaction suspension" from the bankruptcy aggregation standard in 4 because it became difficult to collect information due to expansion of commercial practices that do not use bills and enforcement of the Personal Information Protection Law. did. According to the news gathering activity through its own information network, Tokyo Shoko Research Co., Ltd. has been able to collect “bank transaction suspension” and maintained it. For this reason, the number of bankruptcies that are consistent with the existing statistics is based on the Tokyo Shoko Research announcement.

In addition, in JapanLocal governmentIf your finances get stuck inAct on Special Measures for Promotion of Local Financial ReconstructionBased on (Reconstruction Act)Fiscal rebuilding organizationYou may apply for the designation of and receive permission. This may be referred to as "bankruptcy of the local government".

Virtual bankruptcy

If the economic entity is a company, Bill,checkThe first timeUnpaidIf you make a second default within 6 months ofBecomes When this happens, all banks will not be able to receive current transactions and loans, thus cutting off the cash flow of the company. In this statein factBankruptcyCall.

Even in such a case, the reason for the dissolution of the corporation (start of bankruptcy proceedings, etc.) did not occur, and thus its existence as a corporation cannot be denied. Since it shifts to processing (private arrangement), the term “de facto” is used at that time. In addition, at a credit bureau such as Teikoku Databank, when a company suspends its business and leaves its post-processing to a lawyer, it actually goes into bankruptcy. As a result) bankruptcy information is issued.

Incidentally, onceNews (Chinese)In such cases, the term "de facto bankruptcy" was used even when a reconstruction-type legal bankruptcy processing procedure (see the following section) was started, but in recent years it has been "business failure" rather than "de facto bankruptcy". Is often used (see above).

Legal bankruptcy proceedings

裁判 所Bankruptcy proceedings under the supervision of a bankruptcy, and in this context, “bankruptcy” should be understood not only when an economic agent completely fails economically, but also when it may fail. It is common. When roughly classified, it is divided into a clearing type and a reconstruction type.

Clearing typeIs a system with the purpose of converting the assets of a debtor who has become bankrupt and paying back to the obligee as much as possible.If the obligor is a corporation, it is not planned to survive or rebuild. In contrast,Reconstruction typeDoes not necessarily plan to immediately convert or distribute the assets of a debtor who has become bankrupt, and changes the rights of creditors (reduction or exemption of debt, grace period = split payment, etc.) It is said that this is a system for the purpose of economic revitalization of the debtor's business or economic life by making profits on the basis of the above and repayment of debt after the right change.

However, it should be noted that the difference between the two is relative. In most cases, the bankruptcy procedure, which is positioned as a liquidation type, is actually functioning as a rebuilding type in the so-called personal bankruptcy (consumer bankruptcy) situation due to the existence of an exemption procedure accompanying it, and it is positioned as a rebuilding type. In the civil rehabilitation procedure or company rehabilitation procedure, a rehabilitation plan or a rehabilitation plan may be prepared for the purpose of liquidation.

In addition to special bankruptcy proceedings, special laws (Law concerning special provisions for rehabilitation procedures of financial institutions, etc.There are some that are scheduled to be resolved based on ).

Clearing procedure

Bankruptcy proceedings

Bankruptcy law(Procedure No. 16 of 75), which was appointed by the courtBankruptcy trusteeIs a procedure aimed at liquidating the property of a person who is insolvent or in debt. However, in the event that an individual filed for bankruptcy due to a rapid increase in consumer bankruptcy, in many cases, a bankruptcy trustee is not appointed due to lack of procedural costs, despite the decision to start bankruptcy proceedings (Simultaneous abolition), As a result, the procedure is often used to obtain exemption instead of the conversion or liquidation of the property.

We also need to ensure that the bankruptcy is rehabilitated and that we have the right to a human-worthy life, and, if not exempt, debtors generally mask the deterioration of their wealth and bring them to the worst. As a result, exemption is the reason for avoiding the worst situation even for creditors, because it does not often harm the creditors. From these points, the exemption provision isPublic welfareforConstitutionallyNecessary and reasonable allowedProperty rightIs the limit of^[5].

Special clearingprocedure

Company law(Law No. 17, 86)Part 2 Chapter 9 Section 2 Subsection 1Is a procedure governed byEntered the liquidation procedureLtd.(Special limited companyIf there are circumstances that will significantly hinder the execution of liquidation, or if there is a suspicion of excess debt,LiquidatorIs a procedure for liquidation under the supervision of a court. It is a procedure incorporated in the Companies Act and is independentCodeAlthough it does not exist, it is positioned as one of the four bankruptcy laws. Unlike bankruptcy proceedings, in principle, the former liquidator performs the liquidation procedure as it is.

Reconstruction procedure

Civil rehabilitation procedure

Civil Rehabilitation LawIt is a procedure regulated by (11 Law No. 225), and for those who are in financial difficulty, by establishing a rehabilitation plan with the consent of many creditors and with the approval of the court, It is a procedure for the purpose of revitalizing business or economic life. Law of the Diet (Law No. 11 of 72) was established as an alternative to the procedure of the law which was regulated by the law (the law of law was abolished with the enactment of the Civil Rehabilitation Law). The economic entity subject to the civil rehabilitation procedure is not particularly limited, but in order to make it easier for individuals to use the procedure,Small-scale personal reproductionas well as the Regeneration of salaried workersSpecial rules regarding (Personal reproductionProcedures) are provided.

Company reorganization procedure

Corporate rehabilitation law(Procedure No. 14, 154) is a procedure that is disciplined and is in a predicamentLtd.With regard to (including special limited liability companies), with the supervision of the court, the purpose is to adjust the interests of creditors, shareholders, and other interested parties, with a focus on appointment by the court, and to maintain and rehabilitate the business of the corporation. Is the procedure.

Rehabilitation procedure for cooperative financial institutions

Law concerning special provisions for rehabilitation procedures of financial institutions, etc.Is a procedure regulated byCredit cooperative,Credit union or Labor unionTarget.

Mutual company rehabilitation procedure

It is a procedure regulated by the law concerning special provisions for rehabilitation procedures of financial institutions,Mutual companyTarget.

Specific mediation procedure

Act on Specified Mediation to Promote Adjustment of Specified Debt, etc.(Law No. 11 of 158) is a procedure regulated by the arbitration procedure to contribute to the economic revitalization of those who may fall into insolvency.Civil Mediation ActIt is a procedure established as a special case of (Law No. 26 of 222). It is often not included in the so-called bankruptcy proceedings category, but in reality, it is often used to avoid bankruptcy of consumers, so it may be understood as a bankruptcy proceedings.

(Company reorganization procedure)

Commercial lawIt is a procedure regulated by the former Volume 2 Chapter 4 Section 7 and may result in insolvency or debt insolvency.Ltd.This is a procedure for compiling a summary plan with the cooperation of interested parties under the supervision of the court to maintain the company. Due to problems such as the lack of a majority voting system for creditors, and the drastic decrease in utility value due to the enactment of the Civil Rehabilitation Law,Company lawWas abolished due to the enforcement of.

Optional bankruptcy processing

It means that the debtor voluntarily consults with the creditors to handle the property relationship.Unlike legal bankruptcy proceedings, claims are processed based on an agreement between the creditor and the debtor.

Broadly speaking, it is carried out in accordance with laws and regulations or guidelines of industry groups (for example).ADRGeneral andNatural disaster debt consolidation guidelinesEtc.) and creditors and debtors are often categorized as having totally voluntary negotiations (often through an attorney-at-law).

If the debtor is an individual, the purpose is economic rehabilitation, but if the debtor is a corporation, the purpose may be liquidation or rehabilitation.a creditor consumer loan,Credit company,bankIn such cases, even if the debtor tries to voluntarily sort out, the creditor rarely deals with this, so it is usuallyLawyer,Certified Judicial ScrivenerWill be asked. If the creditors are consumer finance,Contract interestTheInterest limitation lawThe debt amount is reduced by redrawing it, and the debt is often arranged by resolving in installments of 36 to 60 times.

Pure private arrangement (arbitrary arrangement / internal arrangement)

Unlike legal bankruptcy proceedings, there is no supervision by public institutions, so it can be said that it is advantageous in terms of time and economy, but there is no means to bind creditors who oppose the reorganization plan, and unequal reorganization plans There is also an adverse effect that fraud is likely to be carried out, such as the high possibility that the product will be created.In private restructuring procedures involving multiple financial institutions, in order to realize private restructuring, the financial institution (main bank) that provided the main lending, which has the initiative, effectively lends to other financial institutions. There is a problem that the problem of "main banking" that is forced to take over is an obstacle to the use of debt consolidation by private consolidation procedures.

Bylaw type private arrangement

In most cases, each rule has a de facto binding force on the target creditor (such as one with the supervisory authority as a competent government agency or an industry group), and depending on the rule, a lawyer, a tax accountant, etc. Since a system involving specialists such as certified accountants is in place, the above problems are unlikely to occur.On the other hand, there is a limit to the range of eligible creditors (eg,Natural disaster debt consolidation guidelinesAs a general rule, only financial institutions are targeted, and even if the debtor is a self-employed person, transaction creditors cannot be targeted.The text of 3. (2) of the guideline. ), Etc., there are certain limits.

Created by the Guidelines Committee on Private Sorting in September 2001Guidelines for private organizationSee.

Act on Special Measures concerning Revitalization of Industrial Vitality and Innovation of Industrial ActivitiesPrescribed specific certification dispute resolution procedure (Business revitalization ADRprocedure)

It is a kind of regular private arrangement.Although it is a specific certification dispute resolution company, it is in charge of its operation.

For details, Business revitalization ADR See the item.

Bankruptcy was particularly high in Japan

• By defaultDebt amountArranged in descending order. However, for financial institutions, the total amount of debt will decrease due to the termination of deposits and contracts after the bankruptcy is recognized as a bankruptcy.

Canada

CanadaBankruptcy in the Bankruptcy and Insolvency Act (Bankruptcy and Insolvency Act) Is defined by federal law and applies to both companies and individuals. Federal Bankruptcy Supervision Office (Superintendent of Bankruptcy) Is responsible for ensuring that bankruptcy proceedings are carried out fairly and in an orderly manner. The Bankruptcy Trustee manages the Bankruptcy Foundation.

Duties of the trustee

The trustee has the following duties:

• Investigate records for fraudulent preferential payments or transactions subject to denial.
• To preside over creditor meetings.
• Selling assets other than those exempt.
• Object to bankruptcy immunity.
• Distributing funds to creditors.

Creditors meeting

Creditors participate in the procedure by attending a creditors meeting. The first meeting of creditors convened by the trustee has the following purposes.

• Consider the bankruptcy issue.
• Approve the appointment of a trustee or replace it with another trustee.
• Appoint an inspector.
• Providing trustees with instructions that creditors consider appropriate in the management of their assets.

Consumer proposal

In Canada, individuals can file consumer proposals instead of bankruptcy. The consumer proposal is a negotiated solution between debtors and creditors.

A typical consumer proposal is for the debtor to make monthly payments for up to five years and to allocate the funds to the creditors. Most proposals call for less than total debt payments, but in most cases creditors accept the transaction. Otherwise, the next option would be personal bankruptcy, where creditors would receive even less money. Creditors have a 5-day grace period to choose between accepting or rejecting a consumer offer. Once the proposal is accepted, the debtor makes monthly payments to the executor of the proposal, and the creditors are prevented from further litigation or enforcement. If the offer is rejected, the debtor may have no choice but to declare personal bankruptcy.

You can make a consumer proposal with a debt amount of 5000DollarUp to $7 (not including the mortgage of the principal place of residence). If the debt exceeds $5000, you must file a proposal under the Bankruptcy and Insolvency Act, Part 7, Part 5000. It is necessary to provide assistance from the prosecutor. The proposed enforcer will generally be a bankruptcy trustee qualifier, but the Bankruptcy Authority may appoint another person to be the enforcer.

In 2006, Canada had 9 individual insolvency claims. Of these, 8450 were bankruptcy and 7 were consumer proposals^[6].

Europe

In 2004, the rate of increase in bankruptcies in Europe was as high as ever.FranceThen, the bankruptcy rate of the company increased by 4% or more,AustriaThen 10% or more,GreekHas increased by more than 20%. However, official bankruptcy statistics do not fully explain the reality. Official statistics only show the number of bankruptcies, not the importance of each bankruptcy case. Therefore, an increase in the number of bankruptcies does not necessarily mean that the NPL ratio for the economy as a whole has increased.

There is a time lag between companies actually declaring bankruptcy and problems with repayment or becoming uncollectible. In many cases, it can take months or even years between the delivery of goods with credit and the commencement of bankruptcy proceedings against them.

The above explanations are further distorted by legal, tax and cultural aspects. This is especially true in international comparisons. In Austria, for example, more than half of all bankruptcy proceedings in 2004 will not be initiated due to lack of funds to settle some of the unpaid amounts.SpainThen, starting bankruptcy proceedings for a certain type of business is economically unprofitable, so the number of bankruptcies is very small. By comparison,FranceIn 2004, more than 4 bankruptcy proceedings started, but in Spain it is less than 600. On the other hand, the bad debt rate in France is 1.3%, while in Spain it is 2.6%.

The number of personal bankruptcies does not give an overall picture. Only a small number of households with high debts will decide to file for bankruptcy proceedings. This is because of the dishonor of bankruptcy and the possible professional disadvantage.

Netherlands

NetherlandsBankruptcy legislation is governed by the Dutch Bankruptcy Law (Faillissementswet). The law provides for three different legal proceedings. The first is bankruptcy (Faillissement), whose purpose is to liquidate the debtor's assets. Bankruptcy proceedings apply to both individuals and companies. The second legal procedure under the bankruptcy law is Surance. This applies only to the company, the purpose of which is to achieve an agreement with the creditors of the company. The third is Schuldsanering, which is for individuals only.

United Kingdom

United KingdomThen, bankruptcy in the narrow legal sense concerns only individuals and partnerships. Companies and other companies use different names of legal bankruptcy proceedings.Liquidation (liquidation) And property management (administration--Property management order (administration order) And trustee property management (administrative receivership)). However, the word "bankruptcy" is often used for companies in the media and in everyday conversation.Eur-lex.europa.eu eur-lex.europa.euThe bankruptcy procedure in is called Sequestration.

A bankruptcy trustee is a public bankruptcy trustee (Official ReceiverOr a qualified bankruptcy lawyer.

Corporate Law 2002 (Enterprise Act 2002) Has been enacted, the UK bankruptcy proceedings usually take less than 12 months. It may be shorter if the public bankruptcy trustee has assured the court that the investigation has been completed.

The number of bankruptcies is expected to increase as the UK government liberalizes its bankruptcy framework. This seems to be supported by the government's original statistics.

EnglandとWalesIn the fourth quarter of 2005, there were 4 personal bankruptcies (seasonally adjusted). This was a 2% increase over the previous quarter and a 0461% increase over the same period last year. Of these, 15.0 were bankruptcies, an increase of 36.8% over the previous quarter and 1% over the same period last year. 3501 personal voluntary debt consolidation procedures (IVA) Is 23.9% higher than the previous quarter and 117.1% higher than the same period last year.

The United States of America

The United States of AmericaInUnited States ConstitutionAccording to Article 1 section 8 paragraph 4, bankruptcy is under the jurisdiction of federal law.CongressIs authorized to enact "Unified Law on Bankruptcy Across the United States"^[7].. The term bankruptcy is understood here to include reconstruction procedures. Congress on BankruptcyStatuteBankruptcy Code, United States CodePart 11) has been defined. As for the points not specified by federal law or the points explicitly transferred to state law, the federal law is partially modified by the provisions of state law.

Bankruptcy cases are alwaysFederal bankruptcy courtAlthough it is alleged to have been filed (attached to the federal district court), bankruptcy cases are often subject to state law, especially regarding the validity of claims and free property. Therefore, state law plays a large role in many bankruptcy cases, and it is often impossible to generalize bankruptcy law across state boundaries.

Federal Bankruptcy Law Procedure

There are six types of procedures under the Bankruptcy Code, which is set out in Part 11 of the United States Code.

• Federal Bankruptcy Code Chapter 7

Establishes basic liquidation procedures (bankruptcy procedures) for individuals and companies.

Bankruptcy procedures of local governments.

• Federal Bankruptcy Code Chapter 11

Rehabilitation/reconstruction procedures. It is mainly used when the debtor is a company, but it is also sometimes used by individuals with large amounts of debt and assets.

Rehabilitation procedures for family-owned farmers and fishermen.

• Federal Bankruptcy Code Chapter 13

A rehabilitation procedure that creates a payment plan for individuals with fixed income sources.

Provisions for handling international bankruptcy cases.

The most commonly used personal bankruptcies are clearing type Chapter 7 and reconstruction type Chapter 13. Of the total number of bankruptcy claims filed by individuals in the United States, 65% are due to Chapter 7. Companies and other companies often file claims under Chapter 7 or Chapter 11 for reconstructed models.

In Chapter 7, the debtor hands over assets other than those that are free assets to the bankruptcy trustee, and the bankruptcy trustee redeems them and distributes the proceeds to unsecured creditors. Instead, the debtor gets a partial exemption from the debt. However, if the debtor acts in a certain type of inappropriate behavior (such as hiding material concerning the status of property), no liability will be given. In addition, certain debts (spouses and children's dependents, student loans, certain taxes, etc.) are not exempt even if the debtor obtains general exemption. Financially failed individuals often own only free property (clothes, necessities, used cars, etc.), in which case they do not have to hand over their property to the bankruptcy trustee. The amount of property that can be free property varies from state to state. The Chapter 7 remedy can only be used once every eight years. In general, the right of the collateral holder to the collateral property continues to exist even if the debt is exempted. For example, even if the debtor does not agree to deliver the vehicle or "reconfirm" the debt, a creditor with collateral rights to the debtor's vehicle may be exempt from the debtor's debt. Can be lifted.

Under the procedure of Chapter 13, the debtor does not lose ownership or possession of all property, but typically over a period of three to five years, a portion of future income must be used to repay the creditor. The amount of repayment and the duration of the repayment plan depend on factors such as the value of the debtor's property and the debtor's income and expenses. Security interests can be repaid more than unsecured creditors.

In the Chapter 11 procedure, the debtor does not lose ownership and possession of the property and is also referred to as debtor-occupied (DIP) procedure. While debtors who continue to occupy operate daily businesses, creditors and debtorsFederal bankruptcy courtTogether, they will work together to complete negotiations and complete the reconstruction plan. If certain conditions (such as fairness among creditors, priority of certain creditors, etc.) are met, creditors can vote for the proposed reconstruction plan. Once the rebuilding plan is approved, the debtor continues to operate and repay the debt in accordance with the approved rebuilding plan. If more than a certain number of creditors do not vote for approval, the court may impose additional conditions to approve the plan.

Bankruptcy Abuse Prevention and Consumer Protection Act

Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 (BAPCPA)^[8]Was a major amendment to the Federal Bankruptcy Code. Many of the BAPCPA's provisions were strongly supported by consumer lenders and at the same time received strong opposition from many consumer protectionists, bankruptcy law scholars, and judges and lawyers in charge of bankruptcy cases. The BAPCPA was established after eight years of discussions in Congress. Many provisions of the law came into effect on October 8, 2005. When signing the law,George W. BushThe President said:

Under the new law, Americans capable of repayment are required to repay at least part of their debt. StateMediumPeople with lower incomes are not required to repay their debts. The new law will make it more difficult for repeat petitioners to abuse the benefits of the most permissive bankruptcy. Debtors seeking cancellation of all debts will now have to wait eight years after the previous bankruptcy before filing another petition. The new law allows us to crack down on bankruptcy factories who are making money by teaching bankruptcy abusers how to abuse the system^[9].

Among the many changes made to the Personal Bankruptcy Law, BAPCPA has introduced a “capital measure”. This was to make it more difficult for many economically bankrupt individual debtors, whose debt is mostly consumer debt, to qualify for bailout under Chapter VII of the Bankruptcy Code. However, contrary to that intent, capital standards often result in making it easier for debtors to obtain immunity. Debtors are not eligible for remedy under Chapter 7 of the Bankruptcy Code because of capital requirements or because Chapter 7 of the Bankruptcy Code does not allow complete settlement of arrears on secured debt (mortgages and car loans). If so, the debtor can still seek relief under Chapter 7 of the Federal Bankruptcy Code. Reconstruction plans under Chapter 13 often do not require repayment of general unsecured debt (credit card usage fees and medical expenses).

BAPCPA also advises individuals who seek bankruptcy relief to consult with a licensed consulting institution regarding debt details prior to filing a bankruptcy claim and prior to disclaimer under Chapter 7 or Chapter 13. , Require that you receive education on how to manage your household from a licensed institution. A study of the implementation of this debt counseling requirement shows that the debt counseling requirement has little real benefit to the debtor being consulted. For many debtors, the only viable option is to seek bankruptcy relief.

footnote

注 釈

Source

References

• Scott A. Sandage (2005). Born Losers: A History of Failure in America. Harvard University Press 

Related item

• Loan
• liabilities
• Bill-check
• settlement
• Unpaid
• Bad debt-Allowance for doubtful accounts
• SAF2002 model
• Repayment business for unpaid wages

  Unpaid if the user goes bankruptwage,Severance payPart of政府A system that pays in advance. The definition of bankruptcy is different from the above.

• Empire data bank
• Tokyo economy
• Tokyo Shoko Research
• Freelance management
• Bankruptcy
• Bankruptcy isolation
• Creative destruction

外部 リンク

• Bankruptcy definition - Empire data bank
• What is bankruptcy... - Tokyo Shoko Research
• What is bankruptcy? Definition of bankruptcy - Tokyo Shoko Research
• "bankruptcy』- Koto bank
• "bankruptcy』- Koto bank