Bankruptcy is a term that is often associated with financial distress and insolvency. It is a legal status that is granted to individuals or businesses who are unable to pay their debts and liabilities. Bankruptcy is a complex and often misunderstood concept that has far-reaching implications for those who seek it.
Definitions
Bankruptcy is defined as a legal process by which individuals or businesses who are unable to pay their debts can seek relief from their creditors. It is a legal status that is granted by a court of law, and it provides protection to debtors from their creditors.
Origin
The word bankruptcy comes from the Italian word “banca rotta,” which means “broken bench.” The term originated in the 14th century when Italian bankers would conduct their business on benches in the streets. If a banker was unable to pay his debts, his bench would be broken, and he would be forced to stop doing business.
Meaning in different dictionaries
The meaning of bankruptcy can vary depending on the dictionary used. In the Merriam-Webster dictionary, bankruptcy is defined as “the condition of being unable to pay one’s debts.” In the Oxford English Dictionary, it is defined as “the state of being legally insolvent.” The Cambridge Dictionary defines bankruptcy as “a situation in which a person or company is unable to pay their debts.”
Associations
Bankruptcy is often associated with financial distress, insolvency, and the inability to pay debts. It is also associated with legal proceedings, court hearings, and the liquidation of assets.
Synonyms
Some synonyms for bankruptcy include insolvency, liquidation, financial ruin, and financial collapse.
Antonyms
Antonyms for bankruptcy include solvency, financial stability, and financial security.
The same root words
The root words of bankruptcy come from the Italian words “banca” and “rotta,” which mean “bench” and “broken,” respectively.
Example Sentences
- John declared bankruptcy after he was unable to pay his debts.
- The company filed for bankruptcy protection to restructure its finances.
- Bankruptcy can have serious consequences for individuals and businesses.
- The court granted the debtor’s request for bankruptcy relief.
In conclusion, bankruptcy is a legal status that is granted to individuals or businesses who are unable to pay their debts. It is a complex and often misunderstood concept that has far-reaching implications for those who seek it. Understanding the meaning and implications of bankruptcy is essential for individuals and businesses who may be facing financial difficulties.