Commercial Bankruptcy

Bankruptcy, Commercial

 

a special process established in the law of the majority of capitalist states, initiated to provide just satisfaction of all claims by creditors in case a debtor is adjudged insolvent by a court.

In case of bankruptcy, a special body, known as a bankruptcy administration, is created to administer and dispose of the property of the insolvent debtor for the benefit of his creditors. The nature of the property (the bankrupt’s estate) that may be transferred to the bankruptcy administration and sold is variously defined in different countries. For example, in the Federal Republic of Germany the bankrupt’s estate consists only of property owned by the insolvent debtor at the moment of the initiation of the bankruptcy proceeding. In Great Britain, the USA, and France, property in the possession of the insolvent debtor at the time of the bankruptcy proceeding is also included. In the bankruptcy proceeding the amount and nature of the creditors’ claims are established, as is the order of priority for their satisfaction. High-priority claims are usually taxes, fees, wages, and the expenses connected with the bankruptcy proceeding. The remaining property is distributed in proportion to the amounts of claims accepted by the court. Proceeds from the sale of the property are distributed gradually as funds are accumulated. When the bankruptcy proceeding is complete, a judgment to that effect is passed by the court.

References in periodicals archive ?
Equifax Analysis Reveals 44% Decrease in Commercial Bankruptcy Petitions
Petrus is a former commercial bankruptcy attorney, emerging from Klee, Tuchin, Bogdanoff & Stern LLP -- one of the nation's premiere insolvency law firms -- where he worked on the team representing Enron Creditors Recovery Corporation in its avoidance and recovery actions that yielded the largest total recovered in bankruptcy history.
Standout features of this new platform include seven treatises from the American Bankruptcy Institute, an interactive Bankruptcy Court Directory offering contact information for bankruptcy courts across the country, and Chapter 11 Milestones, which help users track significant developments in large commercial bankruptcy cases.
The Adams and Reese Commercial Restructuring and Bankruptcy Team routinely handles complex commercial bankruptcy and insolvency issues by advising, planning, strategizing and litigating on behalf of creditors' committees, commercial lenders, examiners, trustees and debtors.
24, 2011 /PRNewswire/ -- While better days may be on the horizon for the commercial bankruptcy market, it remains to be seen if recent trends will continue for the nation's more than 24 million small businesses.
18 /PRNewswire/ -- Aspatore Books, a Thomson Reuters business, released an authoritative book providing insight into the latest developments in commercial bankruptcy filings titled "Trends in Commercial Bankruptcy Filings (ISBN: 978-0-314-26855-6).
RDW has represented debtors, creditors, trustees and others in commercial bankruptcy, creditors' rights disputes and commercial litigation proceedings since its founding 47 years ago.
California remains the most negatively affected state with seven MSA's (metropolitan statistical areas) among the 15 areas with the most commercial bankruptcy filings during Q4 - down from eight at the end of 3Q.
According to an Equifax study on Q4 2009 data, there were both improvements and setbacks on the commercial bankruptcy, business failure and delinquency fronts.
College Fellows include commercial bankruptcy attorneys, accountants, turnaround and workout specialists, law professors, judges, and government officials and play an important role in sustaining professional excellence.
California is the most negatively affected state with 10 MSA's (metropolitan statistical areas) among the 15 areas with the most commercial bankruptcy filings during June.
Hoelscher has over 20 years experience in commercial bankruptcy and creditors' rights matters, with an emphasis on restructuring and exercising remedies on credit facilities involving both personal property and real estate collateral.
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