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What Is the Role of the Companies' Creditors Arrangement Act

Question 14

Multiple Choice

What is the role of the Companies' Creditors Arrangement Act with respect to developing contractual arrangements that fend off insolvency?


A) Corporations whose debts exceed $5 million may seek bankruptcy protection.
B) It allows creditors to pursue their normal legal default remedies.
C) It establishes when there is a deemed assignment in bankruptcy.
D) Corporations with debts exceeding $1 million may seek bankruptcy protection.

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