Federal bankruptcy law is organized into "Chapters," which govern specific types of bankruptcy proceedings. An individual or non-business debtor can file for bankruptcy under either Chapter 7 or Chapter 13. Chapter 7 or "straight bankruptcy" proceedings involve the complete liquidation of the debtor's estate. Chapter 13 or "wage earner bankruptcy" allows the debtor to repay debts pursuant to a court-administered repayment plan.
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a contract between parties to a prior contract that takes the place of and discharges the obligations under the prior contract
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