Learner's definition of BANKRUPTCY
the condition of being bankrupt
a condition of financial failure caused by not having the money that you need to pay your debts
The company is facing bankruptcy.
The company filed for bankruptcy [=officially asked to be legally recognized as bankrupt] in July.
He declared bankruptcy. [=formally said that he was bankrupt in a legal document]
The company is now in bankruptcy. [=has been officially recognized as bankrupt]
The company was forced into bankruptcy.
— often used before another noun
an occurrence in which a person, business, etc., goes bankrupt
the condition of completely lacking a good or desired quality