Fwd: WEEK FOUR: Loans and Bankruptcy

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From: Bais HaVaad Halacha Center <info-baishavaad.com@shared1.ccsend.com>
Date: Sun, Jan 26, 2025, 8:00 AM
Subject: WEEK FOUR: Loans and Bankruptcy
To: <agentemes4@gmail.com>

SHEMITAS KESAFIM, MECHILAH, YEI'USH, STATUTES OF LIMITATIONS, BANKRUPTCY

THIS MONTH'S YORUCHA TOPIC: Loans and Bankruptcy הלכות הלואה

Week 4 Focus: יאוש, מחילה, התיישנות, פשיטת רגל

SHEMITAS KESAFIM MECHILAH YEI'USH STATUTES OF LIMITATIONS BANKRUPTCY

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Introduction

Aside from repayment, a debt can be canceled in other ways. For example, a lender can unilaterally decide to be mochel, to forgive the loan. There is significant discussion regarding the validity of some other methods, such as ye'iush - despairing of ever collecting the loan, legal statutes of limitations for old loans, and modern bankruptcy laws.

Points to Ponder

• Does mechilah require an act of kinyan or can a verbal mechilah suffice? What if the lender merely decided to forgive it in his mind? • If a lender said clearly that he gives up hope of ever collecting a debt; do the laws of ye'iush apply to cancel the debt? • Can the doctrines of dina d'malchusa or minhag be applied to a declaration of bankruptcy? • If halachah does recognize bankruptcy, can it be applied to all debts or only to commercial debt?

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