An involuntary petition in bankruptcy
　　A. Can be filed by creditors only once in a 7-year period.
　　B. May be successfully opposed by the debtor by proof that the debtor is solvent in the bankruptcy sense.
　　C. Will be denied if a majority of creditors in amount and in number have agreed to a common law composition agreement.
　　D. If not contested will result in the entry of an order for relief by the bankruptcy judge.
　　Answer:D
　　D is corrent because an involuntary petition in bankruptcy, if not contested, will automatically result in the entry of an order for relief by the bankruptcy court. Only if the petition is contested will the creditor(s) be required to prove either that the debtor is not paying her/his debts as they mature, or that during the 120 days preceding the filing of a petition, a custodian was appointed or took possession of the debtor’s property.
　　A is incorrect because there is no requirement as to how often a creditor may file an involuntary petition. It is the debtor who may not be involved in a petition if they have been discharged in bankruptcy proceedings within the past 8 years.
　　B is incorrect because a debtor need only prove that s/he is solvent in the equity sense (i.e., that s/he is paying her/his debts as they mature) and that a custodian was not appointed or did not take possession of the debtor’s property within 120 days before the filing of the petition. The debtor need not prove that her/his assets exceed her/his liabilities (solvency in the bankruptcy sense).
　　C is incorrect because the presence of a composition agreement will not cause denial of an involuntary petition. In many cases a creditor who is left out of such a composition agreement may wish to file an involuntary petition in order to protect her/his interest before the debtor uses a major portion of her/his assets in settling the debts owed to only the creditors involved in the composition agreement.