bankruptcy

American  

[bangk-ruhpt-see, -ruhp-see] / ˈbæŋk rʌpt si, -rəp si /

noun

plural

bankruptcies

1. the state of being or becoming bankrupt.

2. utter ruin, failure, depletion, or the like.

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bankruptcy British  

/ ˈbæŋkrʌptsɪ, -rəptsɪ /

noun

1. the state, condition, or quality of being or becoming bankrupt

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bankruptcy Cultural  

1. Legally declared insolvency, or inability to pay creditors.

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If an individual or a corporation declares bankruptcy, a court will appoint an official to make an inventory of the individual's or corporation's assets and to establish a schedule by which creditors can be partially repaid what is owed them.

An individual who is lacking a specific resource or quality is sometimes said to be bankrupt, as in intellectually bankrupt or morally bankrupt.

Other Word Forms

• prebankruptcy noun

Etymology

Origin of bankruptcy

First recorded in 1690–1700; bankrupt + -cy

Compare meaning

How does bankruptcy compare to similar and commonly confused words? Explore the most common comparisons:

• insolvency vs. bankruptcy

Example Sentences

In January 2002, Global Crossing filed for bankruptcy, vaporizing tens of billions in market value.

From The Wall Street Journal

But even he has blinkers on: Yes, 1975 might have been a great, great time in New York, despite garbage strikes, crime rates and municipal bankruptcy.

From The Wall Street Journal

In September, subprime auto lender Tricolor filed for Chapter 7 bankruptcy protection, sending shock waves through the credit markets.

From Barron's

The company, burdened with debt, filed for bankruptcy protections in 2020 as it faced a drop in sales and restaurant closures.

From Los Angeles Times

Dallas-based Tricolor Holdings filed for Chapter 7 bankruptcy protection in September, days after abruptly closing its 65 lots across six states.

From Barron's

Related Words

• default
• disaster
• failure
• insolvency
• liquidation
• loss