- A financial condition in which a person or organization cannot repay their outstanding debts
- A legal process regulated by the court, wherein assets of a debtor who is unable to pay their debts are distributed among the creditors
- Filing for bankruptcy can provide a fresh start for individuals who are overwhelmed by their debts.
- Because of the economic recession, many businesses were forced into bankruptcy.
- The court set up a meeting with the creditors following the declaration of bankruptcy.