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LSDefine

Simple English definitions for legal terms

bankruptcy clause

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A quick definition of bankruptcy clause:

A bankruptcy clause is a part of a contract that explains what will happen if one of the parties involved goes bankrupt. It is also called an ipso facto clause. This clause helps to protect the interests of the other party in case of bankruptcy.

A more thorough explanation:

A bankruptcy clause, also known as an ipso facto clause, is a provision in a contract that outlines the consequences of one party's bankruptcy. This clause is included in contracts to protect the interests of the non-bankrupt party.

For example, a lease agreement may include a bankruptcy clause that states that if the tenant files for bankruptcy, the landlord has the right to terminate the lease and evict the tenant. This protects the landlord's interests in the property and ensures that they can find a new tenant to occupy the space.

Another example is a loan agreement that includes a bankruptcy clause. If the borrower files for bankruptcy, the lender may have the right to accelerate the loan and demand immediate repayment. This protects the lender's interests in the loan and ensures that they can recover their funds.

Overall, a bankruptcy clause is an important provision in contracts that helps to protect the interests of the non-bankrupt party.

bankruptcy case | Bankruptcy Code

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THATS SO FUNNY
i cant i would go crazy
JumpySubsequentDolphin
20:50
i need to know who decided to do that.
JumpySubsequentDolphin
20:50
omg im on a plane weeeee
the devil
youre on a plane??? LSD made the mile high club??
20:50
yo splitterus are you in school already
20:50
it says ur c/o 2027
JumpySubsequentDolphin
20:51
@SplitterusClitterus: HAHAH yes
ur user is hilarioussss and no i just graduated this may and am now applying ---also im out of messages so ill take a lil
20:52
roger dat. see u in heck
im back, r u applying this cycle too
JumpySubsequentDolphin
21:32
this child fell asleep on me
JumpySubsequentDolphin
21:32
im so uncomfortable
just push him off the entire seat
JumpySubsequentDolphin
21:34
LMAOOOO
JumpySubsequentDolphin
21:35
no he’s literally like 8 and he fully just put his head on my bicep and slept
JumpySubsequentDolphin
21:35
he has since moved
22:12
@SplitterusClitterus: me yesterday
gulc baby pls text me back... i miss you ...... :(
22:23
i just went into a discord vc and yelled "YALL I JUST GOT INTO J.M. SCHOOL OF LAW"
22:24
people were getting excited :sob:
22:25
then someone was like "what does jm stand for" and i was like .. well
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JOE MBIDEN
JumpySubsequentDolphin
22:39
@splitty Oregon!
oh yay for what thats so random
JumpySubsequentDolphin
22:45
haha my brother and sister in law live there
so cutie oregon is beatiful
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