First enacted in 1978 and substantially revised in 2005, the Bankruptcy Code contains the statutes (laws) that grant legal forgiveness of debt for businesses or individuals in financial difficulty.  There are two primary types of bankruptcy relief available under the Code:  liquidation (Chapter 7) or reorganization (Chapters 11, 12 and 13).  These options are best discussed with a qualified attorney.  The Bankruptcy Code is available at your local law library.