What Is Meant by "Relief Against Forfeiture

question 65

Essay

What is meant by "relief against forfeiture"?

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Definitions:

Secured Lenders

Secured lenders are creditors who have the right to claim specific collateral from the borrower if the borrower defaults on the loan.

Trade Credit

Credit granted in the normal course of business between companies. That is, vendors don’t usually demand immediate payment for their products.

Unsecured Creditors

Lenders or creditors who have extended loans without any collateral. If the borrower defaults, these creditors have no claim to any assets of the borrower.

Short-Term Funds

Short-Term Funds are investment vehicles that invest in securities with short maturity periods, usually less than one year, providing liquidity and income.