The Bankruptcy Act of 1898 ("Nelson Act", July 1, 1898, ch. 541, ) was the first
United States
The United States of America (U.S.A. or USA), commonly known as the United States (U.S. or US) or America, is a country primarily located in North America. It consists of 50 states, a federal district, five major unincorporated territorie ...
Act of Congress
An Act of Congress is a statute enacted by the United States Congress. Acts may apply only to individual entities (called Public and private bills, private laws), or to the general public (Public and private bills, public laws). For a Bill (law) ...
involving
bankruptcy
Bankruptcy is a legal process through which people or other entities who cannot repay debts to creditors may seek relief from some or all of their debts. In most jurisdictions, bankruptcy is imposed by a court order, often initiated by the debtor ...
to give companies an option of being protected from creditors. Previous attempts at federal bankruptcy laws had lasted, at most, a few years.
[See Debt's Dominion: A History of Bankruptcy Law in America,
David A. Skeel, Jr., Princeton University Press 2001 (sample online a]
).
Its popular name is a homage to the role of Senator
Knute Nelson
Knute Nelson (born Knud Evanger; February 2, 1843 – April 28, 1923) was an American attorney and politician active in Wisconsin and Minnesota. A Republican, he served in state and national positions: he was elected to the Wisconsin and Minnesot ...
in its composition.
It was significantly amended by the
Bankruptcy Act of 1938
The Bankruptcy Act of 1938, also known as the Chandler Act, expanded voluntary access to the bankruptcy system in the United States and made voluntary petitions more attractive to debtors. It also gave authority to the Securities and Exchange Co ...
and was superseded by the
Bankruptcy Act of 1978
The Bankruptcy Reform Act of 1978 (, , November 6, 1978) is a United States Act of Congress regulating bankruptcy.
The current Bankruptcy Code was enacted in 1978 by § 101 of the Act which generally became effective on October 1, 1979. The curre ...
.
See also
*
Bankruptcy Act
Bankruptcy Act (with its variations) is a stock short title used for legislation in Australia, Hong Kong, Malaysia, the Republic of Ireland, the United Kingdom and the United States relating to bankruptcy. The Bill for an Act with this short title ...
*
History of bankruptcy law in the United States The history of bankruptcy law in the United States refers primarily to a series of acts of Congress regarding the nature of bankruptcy. As the legal regime for bankruptcy in the United States developed, it moved from a system which viewed bankruptc ...
References
External links
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Bankruptcy Attorney
United States bankruptcy legislation
1898 in American law
Repealed United States legislation
History of bankruptcy law
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