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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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MIAMI A
[] AromaticTroubledDormouse
20:55
How does one know if they are UR1 or UR2?
[] AromaticTroubledDormouse
20:56
CONGRATS MACAQUE!
TY
got a random stanford email and almost had a heart attack
ALSO CONGRATS!
Congrats1!
21:15
Miami A, yall I'm so excited I could cry.
21:15
Feel like I can finally stop holding my breath!! Whew!!!
[] baddestbunny
22:16
every time I get accosted by a strange man who follows me around because my male coworkers were too busy talking to walk me back to my car I get closer to saying we need to bring back traditional gender roles
Dkk
22:32
Nice! @Macaque
Dkk
22:32
@Aromatic, Have to guess.
Dkk
22:33
That sucks @Bunny do you have to go to the hospital?
[] baddestbunny
22:40
I said accosted not assaulted
23:35
guys. my notre dame address just went long is this good or bad
1a2b3c4d26z
23:37
Oooooo me too
23:37
omg is this good or bad
Dkk
23:47
Idk if gender roles are gunna fix that then.
23:49
it looks like most people who applied in october last cycle didn't get a decision until january... does it even mean anything that our addresses went long??
hows ED 2 compared to ED 1?
Dkk
0:10
No idea
windyMagician
0:34
reporting live to say my ndls address also went long
does it mean anything ^
Dkk
2:21
NDLS and Fordham took a very long time last year. It's good info for people to know.
[] baddestbunny
4:29
let’s get after it boys and girls
Dkk
5:21
I gtg to bed soon.
Dkk
5:22
Big day today. Gunna be a crazy one. I will sleep through the first half.
good morning lsd it is 5 am EST
also jazzy my ndls address went long ages ago i sadly do not think it means anything
my stanford address also went long LOL i think at most it's an indicator it's under review
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