Part IX Agreements Offers an Alternative to Bankruptcy When Relatively

question 8

Multiple Choice

Part IX agreements offers an alternative to bankruptcy when relatively small debts are involved.Which of the following is not a feature of a Part IX agreement?

• A)Creditors must vote to approve a Part IX agreement.
• B)The debtor's annual after tax income must not exceed approximately $68 000.
• C)There are no fees or administrative charges if the Official Trustee processes the agreement.
• D)Debtors are given a 12- month moratorium period during which they do not have to make payments to creditors.

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Definitions:

Insertion

The place where a muscle is attached to the bone that it moves.

Orbicularis Oculi

A circular muscle around the orb of the eye involved in closing the eyelids and enabling various facial expressions.

Diaphragm

A muscular and membranous partition separating the abdominal and thoracic cavities, crucial in the respiratory process.

Tendon

Fibrous connective tissue serving to attach muscles to bones.