Preview Questions Bankruptcy Lawyer | Role Specific Skill

Question 1: In a Chapter 7 bankruptcy, which of the following debts is automatically excluded from discharge?

Which action should you take?

Choose only one option

Medical debt

Personal loans

Business debts

Debts incurred through fraud

Question 2: How do you handle a situation in a Chapter 11 case where a debtor's unsecured creditors claim that the proposed plan does not provide them with enough compensation?

Which action should you take?

Choose only one option

By ignoring the objections from unsecured creditors and proceeding with the debtor's proposed plan.

By proposing a liquidation instead of reorganization.

By filing an objection to the plan, proposing a revised distribution to unsecured creditors that reflects their claims.

By dismissing the case entirely without a plan.

Question 3: How would you challenge a debtor's request for discharge of debts if the debtor has been found guilty of criminal conduct related to the debt?

Which action should you take?

Choose only one option

By seeking to deny the discharge under 11 U.S.C. ?523(a)(2), citing the criminal conduct that relates to the debt.

By disregarding criminal conduct and proceeding with the discharge.

By allowing the debtor to discharge all debts irrespective of their criminal conviction.

By conceding that criminal conduct has no impact on dischargeability.

Question 4: What is the Bankruptcy Lawyer's role in negotiating creditor settlements in Chapter 11 cases?

Which action should you take?

Choose only one option

To mediate between the debtor and creditors, ensuring that settlement terms align with the debtor's financial situation and meet legal requirements

To focus only on the debtor's interests and disregard creditor concerns

To immediately accept creditor proposals without negotiation

To reject any settlement offers and insist on a full reorganization without compromise

Question 5: In Chapter 11 bankruptcy, what is the role of a Bankruptcy Lawyer in the debtor's efforts to obtain financing through debtor-in-possession (DIP) loans?

Which action should you take?

Choose only one option

To negotiate terms that protect the debtor's interests while ensuring compliance with bankruptcy laws and approval by the court

To avoid securing any DIP financing, relying solely on existing cash flow

To secure financing at any cost to keep the company running

To oppose DIP financing if the debtor's financials are weak

Question 6: In a Chapter 13 bankruptcy, what percentage of unsecured debts must be paid for the debtor to receive a discharge?

Which action should you take?

Choose only one option

50% of unsecured debts

100% of unsecured debts

80% of unsecured debts

0% of unsecured debts