the LCFO's assets and liabilities are exempted from normal bankruptcy procedures, creating the potential for a disorderly … dismemberment of an insolvent LCFO. Nonetheless, however inconvenient they may be for bankruptcy administrators, the closeout …

Focusing on home owners, the paper discusses the reduction in a household’s credit access due to bankruptcy filing and … its two effects that may deter a household from filing for bankruptcy. Empirical evidence presented in the paper suggests … that a household with a bankruptcy record is about 30% more likely to lose home ownership and consequently the mortgage …

. The bankruptcy code is a "primitive creditor system" and financial distress leads to an arbitration between private … agreement and costly formal bankruptcy. We consider a standard debt contract between a bank and a small firm, both risk … show that costly formal bankruptcies may occur at equilibrium and the internalization of bankruptcy costs is impossible …

The aim of this paper is to provide new evidence on the value-creation process taking place in bankruptcy procedures … extent the debtor’s value can be preserved under bankruptcy by analyzing the recovery rates in France, Germany, and the … United Kingdom. We use a unique European sample of 900 corporate bankruptcy files that were manually collected in commercial …