- Bankruptcyrep.com: History of Bankruptcy
- I frequently ask my new clients how often that they believe they can file bankruptcy. Many many times the response is seven (7) years. I puzzled over this misconception for 29 years and finally a college in Fort Collins matter of factly pointed out, ” oh, that comes from the Bible.”
Sure enough, in the book of Deuteronomy around Chapter 15, Mosses brings home God’s law from the the mountain with the burning bush to the Israelites and counsels them to forgive debts every seven years. Amazingly enough he also describes a system of redemption after foreclosure that is very similar to those in effect today. . .
One thing I should note though, is that this sentence in the essay is probably a typo, “Bankruptcy has been around for over four hundred years. the Roman’s have the first written history on the subject.” If the Roman’s wrote a history on the subject, then the concept of bankruptcy would have to be far older than 400 years old, probably closer to 3000-4000 years if one considers the Deuteronomy reference to be the first illustration of bankruptcy law.
BTW, if you’re interested here is Deuteronomy 15