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A government that is unable to satisfy claims against it:

A. Is prohibited from filing bankruptcy
B. May seek protection under the Federal Bankruptcy Code, using the same section that is used by businesses
C. May seek protection under the Federal Bankruptcy Code, using a special section directed to governments
D. Is automatically placed under the jurisdiction of a higher level of government

User RitchieD
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1 Answer

6 votes

Answer:

may seek protection under the Federal Bankruptcy Code, using a special section directed to governments

Step-by-step explanation:

United States municipalities, just like business and individuals, can seek federal bankruptcy protection when they establish the fact that they are financially distressed. A similar incidence took place in 2012, when the Eastman Kodak Company filed for bankruptcy because their products were no longer living up to the satisfaction of their clients and the consequent decline in revenues. The 131-year-old film pioneer struggled for years to adapt to an increasingly digital world.

User Tallowen
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