1. Which of the following is not a policy goal of consumer bankruptcy?

provide the debtor a fresh start

equitable distribution of assets among creditors

provide the creditor a fresh start

QUESTION 14

1. Under all chapters of the Bankruptcy Code, most of the debtor's assets are distributed to creditors and the debtor has no obligation to share future earnings with creditors.
2. True
3. False

QUESTION 15

1. The United States has always had bankruptcy law in place because of the Bankruptcy Clause in the U.S. Constitution.
2. True
3. False

QUESTION 16

1. When is a creditor referred to as a secured creditor?
2. when the creditor has been guaranteed payment by a trustee
3. when the creditor gives a loan without property securing repayment
4. when the creditor has a lien on property to secure repayment of a debt
5. when the creditor has been repaid the debt

QUESTION 17

1. The CARES Act includes revisions to certain provisions of the U.S. Bankruptcy Code in an effort to provide better and more effective bankruptcy relief to small businesses.
3. True
4. False

QUESTION 18

1. Generally, filing bankruptcy stops the collection activity of creditors which helps facilitate the creditor's fresh start.
3. True
4. False

QUESTION 19

1. When a creditor has a lien on certain property of a debtor, the creditor can enforce a claim against that property upon default by a debtor.
2. True
3. False

QUESTION 20

1. When a company is in financial distress, which of the following options are available to address the financial distress:
2. rescue the company through a Chapter 13 plan of reorganization.
3. rescue the company through a liquidating plan in Chapter 11.
4. rescue the company through a reorganization of the company's debt.
5. rescue the company through a liquidation in Chapter 7.

QUESTION 21

1. A basic goal of bankruptcy law is to provide a "fresh start."A key mechanism through which the Bankruptcy Code achieves this goal is the
2. debtor's absolute right to adischarge in bankruptcy.
3. secured claim enforcement process.
4. wage garnishment enforcement process.
5. enforcement of property garnishments.
6. None of the above.