He used laws that the average Joe doesn’t have access to to shield himself from personal destruction (even though it cost thousands of people their jobs each of the four times bankruptcy was filed.).
He hid behind his businesses and let them and everyone they employed take the fall.
He even says so himself -
Yeah, maybe smart…but a dick move.
It just shows he is more of the same type of profits over people mentality that I think people are getting tired of.
It’s not so much that he filed bankruptcy so many times…I mean, there are a lot of rich fucks that have filed bankruptcy…it’s the fact that our laws are so stupid and skewed to favor the rich that really should piss people off.
A normal person without the ability to file “Corporate bankruptcy” and hide behind that veil of protection would end up with jack…they certainly wouldn’t remain rich.
And you can only file personal bankruptcy once every 8 years I think it is? Good luck getting a second one approved.
I don’t give a flying fuck that you use the bankruptcy to “restructure” the fact of the matter is you screwed up the finances.
Anyhow, not who I want running shit around here.
Donald Trump Bankruptcy:
Personal vs. Corporate Bankruptcy
Bankruptcy is a tool that allows debtors relief from their debt when they cannot pay it back.
Through bankruptcy, a debtor can get a "financial fresh start."
However, there are six different types of bankruptcy under the Bankruptcy Code (the federal laws of U.S. bankruptcy): Chapters 7, 9, 11, 12, 13, and 15.
These chapters mainly differ in terms of who the debtor is.
For example, farmers and fisherman can file for debt relief under Chapter 12 bankruptcy. Municipalities can file for Chapter 9 bankruptcy.
When it comes to the issue of Donald Trump's bankruptcy, we are only concerned with Chapters 7 and 11.
That's because a Chapter 7 filing is indicative of poor financial management skills on behalf of the debtor — a red flag for voters evaluating a presidential candidate.
But a Chapter 11 filing doesn't necessarily indicate poor management.
In fact, it can be seen as a tool that improves a company's value for investors.
Here's the difference:
- Chapter 7 bankruptcy: Allows an individual to be freed of most debt in exchange for a ruined lined of credit for 10 years.
- Chapter 11 bankruptcy: Allows a corporation to stay in business while it restructures its business and attempts to reduce its debt.
When Trump tweeted, "I never went bankrupt," he was being truthful.
The real estate magnate has kept good order of his personal finances.
You see, all four of Donald Trump's bankruptcies were the Chapter 11 type.
Each resulted from over-leveraged casino and hotel properties in Atlantic City.
"I've cut debt — by the way, this isn't me personally, it's a company," Trump clarified toForbes in April 2011. "Basically I've used the laws of the country to my advantage and to other people's advantage just as Leon Black has, Carl Icahn, Henry Kravis has, just as many, many others on top of the business world have."
Trump emphasized that many "great entrepreneurs" have used bankruptcy to restructure debt, free up capital, and improve their businesses.
Reed Smith partner Michael Venditto, who has represented clients in high-profile Chapter 11 cases (including bankrupt airline TWA), added in the same article that "to the ordinary person in the street, [four corporate bankruptcies] may seem surprising, but certainly not to me.
Chapter 11 is how you reshape and restructure a company that has problems.
It doesn't indicate anything nefarious or even bad management."
(I disagree)
