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Assignment:
The Bankruptcy Abuse Prevention and Consumer Protection Act (BAPCPA) was passed by Congress in 2005 in response to the increased number of of bankruptcies filed under the 1978 bankruptcy law. Answer the following questions about bankruptcy and the new law.
1. Which type of bankruptcy is also referred to as a liquidation bankruptcy? Why?
2. In what type of bankruptcy is an individual debtor with a regular income required to pay off pre-petition debts with petition income? Why is this type of bankruptcy good for debtors? Why is it good for creditors?
3. BAPCPA is requires that more individual debtors file for which type of bankruptcy? Why?
4. What is the median income test? Explain how it affects the type of bankruptcy protection a debtor can request.
5. What is the means test? Explain how it affects the type of bankruptcy a debtor can request.
6. What's the overall effect of BAPCPA on bankruptcy filings?
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