Question

1. Differentiate between the insurance of indemnity and compensation

2. With vivid examples, differentiate between a debtor and a creditor as it affects the mortgage.

3. Discuss the meaning of Bankruptcy

a. What are the types of bankruptcy

b. In Canada, what type of court handles bankruptcy matters and why

Answer 1

Indemnity and compensation are two most important things related to the income sector and applicable on every employee the indemnity means a social security scheme provided by the employer to the employee for their security and development.
Compensation is simply just like wages and salaries given to the Employees for their work.
2. The difference between a debtor and the creditor as it affects the mortgage is that
A debtor is a person who takes money for various purposes from a financial organisation or from the individuals.
A creditor is a party which includes a person company government organisation that has a clean on the other person and who money is owed.
A debtor is a person who mortgages from the Financial institute as a loan and here the financial institutes who provide a loan to the debtors play the role of a creditor.
3. Bankruptcy is a lawful process under which the people or the other institutes who are unable to repay the debts to the creditors.
A person is declared bankrupt under a few cases like when creditors prosecute a person for the payment of a debt or after a certain notice a person is not able to fulfil the financial requirement of the notice.
The types of bankruptcies are
Liquidation
Repayment plan
Municipalities
Family farmers
The Superior Court of Justice is the court where you can handle the bankruptcy cases in Canada because of the law and act under bankruptcy and insolvency act.