us bankruptcy code
71Chapter 7 — liquidation proceedings; generally assets are sold by a trustee and the company ceases operation. Individuals may file Chapter 7 also (Glossary of Common Bankruptcy Terms) A liquidation proceeding available to individuals, married couples,… …
72exemptions — this refers to assets or properties owned by the debtor that cannot be recovered by creditors (Glossary of Common Bankruptcy Terms) Property that may be kept by an individual debtor that is not used for distribution to creditors and is free from… …
73Key Employee Retention Plan — These plans were traditionally put in place in bankruptcy cases as incentives to upper management to continue working for the debtor throughout the bankruptcy. KERPs have been substantially curtailed under the 2005 amendments to the bankruptcy… …
74Chapter 11 — reorganization proceedings, generally for business entities. The debtor maintains control of the business in Chapter 11, unless the Court appoints a trustee (Glossary of Common Bankruptcy Terms) A reorganization proceeding in which the debtor may …
75Chapter 12 — family farmer bankruptcies. This was created by Congress in 1986 (Chapter 12 became effective on November 26, 1986). Only a family owned farm business can qualify for Chapter 12 and it must have debt less than $1.5 million and have 50% of its… …
76chapter — the Bankruptcy Code is organized into Chapters. Except for Chapter 12, the Chapters of the present code are all odd numbered and are enumerated with Arabic numerals. (Before the Bankruptcy Reform Act of 1978, the Chapters were numbered with Roman …
77Section 304 — the former section of the U.S. Bankruptcy code that handled multi national bankruptcies only a few of which were filed each year. This section no longer exists; it has been replaced by Chapter 15 (Glossary of Common Bankruptcy Terms) the section… …
78exemption — A state or federal statute which shields certain property from the claims of unsecured creditors (SA Bankruptcy.com) Property that the Bankruptcy Code or applicable state law permits a debtor to keep from creditors. (BankruptcyAction.com)… …
79priority — The Bankruptcy Code establishes the order in which claims are paid from the bankruptcy estate. All claims in a higher priority must be paid in full before claims with a lower priority receive anything. All claims with the same priority share pro… …
80leases and executory contracts — Executory contracts are contracts where obligations are yet to be performed by both parties. The bankruptcy code gives special treatment to unexpired leases and executory contracts by allowing the debtor, in many cases, to choose whether it wants …
