Bankruptcy (破产 pò chǎn) refers to a legal proceeding that a debtor’s property is administered and evaluated under the bankruptcy laws. When a person or business is unable to repay the debts, the debtor or corresponding creditors can petition for bankruptcy, and the debtor’s assets will be divided among creditors and used to repay the debt.
Part 1: Breakdown of Words
Part 2: Examples
- Declare bankruptcy (宣告破产 xuān gào pò chǎn).
- Bankruptcy protection (破产保护 pò chǎn bǎo hù).
- Bankruptcy code (破产法 pò chǎn fǎ).
- Bankruptcy court (破产法院 pò chǎn fǎ yuan).