Business Law

  1. In Chapter 11 bankruptcy proceedings, a debtor who is allowed to continue in possession of the estate in property (the business) and to continue business operations.
    Debtor in Possession (DIP)
  2. The termination of an obligation. (1) In contract law, ___ occurs when the parties have fully performed their contractual obligations or when events, conduct of the parties, or operation of the law releases the parties from performance. (2) In bankruptcy proceedings, the extinction of the debtor's _____ debts.
  3. A corporate director or officer, or other employee or agent, with access to confidential information and a duty not to disclose that information in violation of insider-trading laws.
  4. (1) In regard to bankruptcy, the sale of all of the nonexempt assets of a debtor and the distribution of the proceeds to the debtor's creditors. Chapter 7 of the Bankruptcy Code provides for ______ bankruptcy proceedings. (2) In regard to corporations, the process by which corporate assets are converted into cash and distributed among creditors and shareholders according to specific rules of preference.
  5. A court's grant of assistance to a complainant. In bankruptcy proceedings, the order relieves the debtor of the immediate obligation to pay the debts listed in the bankruptcy petition.
    Order for Relief
  6. The document that is filed with a bankruptcy court to initiate bankruptcy proceedings. The official forms required for a _____ must be completed accurately, sworn to under oath, and signed by the debtor.
    Petition in Bankruptcy
  7. In bankruptcy proceedings, property transfers or payments made by the debtor that favor one creditor over others. The bankruptcy trustee is allowed to recover payments made both voluntarily and involuntarily to one creditor in ____ over another.
  8. One who has received a preferential transfer from a debtor.
    Preferred Creditor
  9. An agreement between a debtor and a creditor in which the debtor reaffirms, or promises to pay, a debt dischargeable in bankruptcy. To be enforceable, the agreement must be made prior to the discharge of the debt by the bankruptcy court.
    Reaffirmation Agreement
  10. One who holds title to property for the use or benefit of another (the beneficiary).
  11. A government official who performs certain administrative tasks that a bankruptcy judge would otherwise have to perform
    U.S. Trustee
  12. An out-of-court agreement between a debtor and his or her creditors in which the parties work out a payment plan or schedule under which the debtor's debt can be discharged.
Card Set
Business Law
Bankruptcy Law