12. Introduction to Bankruptcy
- What is the purpose of bankruptcy?
- Bob decides to borrow to buy a new house. A bank provides the money as a loan secured against the value of the home. Later Bob secures a loan from a local renovation company to complete the work, but it is unsecured. If Bob defaults on either loan, who has priority during bankruptcy?
- What are some differences between Division 1 and Division 2 proposals?
- Explain the role of the Bankruptcy Court.