Final answer:
The process where debtors must sell their property to pay creditors is known as Liquidation, which is option c in the question.
Step-by-step explanation:
The option that provides a system in which debtors are forced to sell most of their property and use the cash to pay their creditors a portion of the amount owed each one is c. Liquidation. This is a legal process described in bankruptcy law where a debtor's assets are sold off to pay back creditors. The process is often administered by a bankruptcy court or a designated official. It provides debtors with a way to discharge their debts by liquidating their assets and distributing the proceeds to their creditors. Options such as Family Farmer or Fishing Business Debt Adjustment, Reorganization, and Individual Debt Adjustment provide different mechanisms for debt adjustment and management that typically allow the debtor to retain some assets and reorganize their financial affairs to handle the debt.