This Article empirically examines whether courts of appeals judges cast ideological votes in the bankruptcy context. The empirical study is unique insofar as it is the first to examine the voting behavior of circuit court judges in bankruptcy cases. More importantly, it focuses on a particular type of dispute that arises in bankruptcy: debt-dischargeability determinations. The study implements ...

In this research, the relationship between accruals quality and bankruptcy of companies has been studied. According to Dechow et al.chr('39')s (1995) model, the quality of accruals was measured, and according to the Shirata model (1998), bankruptcy was examined. Operations were considered as the control variables. The research hypothesis was tested using a multivariate regression model and a co...

Creditors often critically shape the fate of bankruptcy reorganizations, yet drivers and implications creditors’ reorganization plan confirmations are still not completely understood. Exploring micro-level data on proceedings in Slovenia, we find that creditors, above all, demand a credible change exercise control rights. The prospects confirmation positively associated with debt-to-equity conv...

Financial reorganization under bankruptcy reduces a firm’s debts to a serviceable level through negotiations overseen by courts. Academics have suggested using markets as an alternative to such negotiations, recognizing that equity holders and junior claimants have call options to buy the firm back from senior creditors. This paper further develops this market-based approach when claimants are ...

After the promulgation of Law Number 11 2020 Concerning Job Creation, it has been made possible to form a new legal entity, namely an Individual Company. These changes are referred in provisions Article 109 Creation Law, which contains several 40 2007 concerning Limited Liability Companies. The government also further regulations regarding existence individual company as entity Government Regul...

bankruptcy and tort; two apparently distinct branches of law, but, in fact, some technical and theoretical issues arise from their interaction. these include, among others, the boundaries between personal rights of the victim to damages, exclusively allocated to the bankrupt, and the financial damages , which belong to the creditors ; the problems resulting from the chronological order of the b...

Data envelopment analysis (DEA) is an effective tool for supporting decision-makers to assess bankruptcy, uncertainty concepts including intervals, and game theory. The bankruptcy problem with the qualitative parameters is an economic problem under uncertainty. Accordingly, we combine the concepts of the DEA game theory and uncertain models as interval linear programming (ILP), which can be app...

We argue that the main role of corporate bankruptcy is to mitigate bargaining frictions in financial distress. Bankruptcy law can improve ex post bargaining efficiency by (1) verifying assets and liabilities; (2) improving coordination among claimholders; (3) protecting third-party claimants; (4) maintaining asset value during bargaining; and (5) alleviating the impact of liquidity constraints ...

This paper analyzes corporate bond valuation and optimal call and default rules when interest rates and firm value are stochastic. It then uses the results to explain the dynamics of hedging. Bankruptcy rules are important determinants of corporate bond sensitivity to interest rates and firm value. Although endogenous and exogenous bankruptcy models can be calibrated to produce the same prices,...