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Filing Bankruptcy; the Bankruptcy Petition
A Bankruptcy Petition is a formal request by an individual or a business to a Bankruptcy Court to declare the person or business bankrupt. A "Petition" or "Petition for Relief" is the actual document filed with the Court to initiate a bankruptcy case. A bankruptcy may be either voluntary or involuntary.
Once the petition has been filed with the Court, the Court will send creditors a "Notice of Commencement of Case" informing them that a particular company filed for bankruptcy protection. A month or two after the bankruptcy petition is filed, a representative of the debtor company must attend a hearing presided over by a bankruptcy trustee. This hearing is called the First Meeting of Creditors. At this meeting, the trustee will ask the debtor questions under oath regarding the content of their bankruptcy schedules, and about assets, liabilities and other matters. Creditors are invited to attend this meeting, and are normally allowed to ask questions that the debtor must answer under oath.
Edited by Michael C. Dennis.