A strategic bankruptcy may occur when an otherwise solvent company makes use of the bankruptcy laws for some specific business purpose other than simple inability to pay debts. == Process == In the U.S., Chapter 11 bankruptcy made it possible for a business to declare bankruptcy without actually being insolvent.
A strategic bankruptcy may occur when an otherwise solvent company makes use of the bankruptcy laws for some specific business purpose other than simple inability to pay debts. == Process == In the U.S., Chapter 11 bankruptcy made it possible for a business to declare bankruptcy without actually being insolvent.
Source: Wikipedia "Strategic bankruptcy" · CC BY-SA 4.0
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