Deck 30: D: Bankruptcy Law

Question 1

Auto & Truck Loan Corporation uses "self-help" repossession when its debtors default on their loans.This simplifies the process of repossession because

A)it can be done without judicial process.
B)it is less stressful for debtors.
C)it provides an incentive for confrontations with debtors.
D)the UCC clearly defines what constitutes "breach of the peace."

Answer 1

A

Question 2

Farmers National Bank lends money to Greta,taking a security interest in her assets.Later,Greta files a bankruptcy petition.From Farmers's point of view,once Greta is in bankruptcy,her assets have

A)decreased value,or no value.
B)increased value.
C)the same value.
D)unique value.

Answer 2

A

Question 3

Orly's debts are discharged in a liquidation bankruptcy.Pester & Recover,Inc. ,buys the discharged debt obligations.With respect to these debts,Pester

A)can do nothing.
B)can pressure Orly into paying them.
C)must give Orly additional help to rebuild her life after the discharge.
D)must report the debts to credit reporting agencies as "discharged."

Answer 3

B