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Act of bankruptcy

   Also found in: Legal 0.04 sec.
(Law) an act of a debtor which renders him liable to be adjudged a bankrupt.

See also: Act



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They're going to hide behind this cowardly act of bankruptcy and try to make it sound like we're being greedy.
The act of bankruptcy itself generally is an indication of at least partial worthlessness, and many times will establish worthlessness if it is obvious before the settlement date that there are no assets to be distributed to the creditor.
The Bonds will be immediately accelerated if: 1) Santa Barbara Bank & Trust repudiates its LOC or fails to honor a draw thereon; 2) the LOC is not reinstated or an event of default under the Reimbursement Agreement occurs; 3) the occurrence of an act of bankruptcy with respect to Santa Barbara Bank & Trust and; 4) upon receipt by the trustee of a notice of an event of termination under the confirming agreement that leads to a termination of the CLOC.
 
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