Lulu joins with other creditors to force Mikhail,a debtor,into bankruptcy.One of the goals of bankruptcy law is to

Question

Quizplus · Accepted Answer

One of the main goals of bankruptcy law is to provide equitable treatment for creditors who are competing for the debtor's assets. This means that each creditor will have a fair chance to collect on their debts, regardless of when the debt was incurred or the creditor's financial status. The bankruptcy process is designed to ensure that assets are distributed in a way that is fair and equitable to all creditors, rather than allowing the debtor to favor certain creditors over others. The other choices are incorrect as bankruptcy law does not exist to ensure that creditors will continue to lend to insolvent debtors, nor does it aim to ensure that all creditors will be paid all that they are owed or to make all the debtor's property available to satisfy creditors' claims.

Lulu Joins with Other Creditors to Force Mikhail,a Debtor,into Bankruptcy