The Professional
Bankruptcy Dictionary



gap period

The period between the filing of an involuntary petition and adjudication that the debtor is a "bankrupt."

Jordan, Warren, Bussel, Bankruptcy (5th ed.), Foundation Press.


A creditor's levy (seizure) on property of the debtor in the possession of a third party; e.g., wage garnishment or levy.

governmental unit

means United States; State; Commonwealth; District; Territory; municipality; foreign state; department, agency, or instrumentality of the United States (but not a United States trustee while serving as a trustee in a case under this title), a State, a Commonwealth, a District, a Territory, a municipality, or a foreign state; or other foreign or domestic government;

Sec. 101. Definitions

going concern value

The fair market value of a business as an ongoing enterprize, as opposed to the value of its liquidable assets sold individually. Going concern value typically includes the value of intangibles such as good will that exist only where the business is still operating.

good faith

The criteria required of chapter 13 and chapter 11 debtors that they have filed their cases or plans "in good faith," meaning they are honestly trying to sort out and solve debt problems without unfair manipulation of the bankruptcy system, or fraud against a creditor or the court.

good faith purchaser

a phrase sometimes used instead of bona fide purchaser; typically, a purchaser who is innocent of any fraudulent or unfair motive and who purchases an asset for fair value.