Where did Bankruptcy come from?
In medieval Italy, when a businessman did not pay his debts, it was the practice to destroy his trading bench. From the Italian for broken bench, “banca rotta,” comes the term bankruptcy. Bankruptcy is a RIGHT given to you by the founding fathers of this country. It does not make you a failure, it is nothing to be ashamed of. If you need reassurance, think about some of the nations biggest celebrities and respected business men. Can you think of any names? A list of famous filers. Nobody should have to pay for mistakes they made, changes in life’s circumstances or chances they took financially for the rest of their lives. In the United States, early federal bankruptcy laws were temporary responses to bad economic conditions. The first official bankruptcy law was enacted in 1800 in response to land speculation. It was repealed in 1803. Similarly, in 1841, in response to the panic of 1837, the second bankruptcy law was passed. It was repealed in 1843. The economic upheaval of the Civil W
