-Redacted by Réjean J. Boudreau,

with the collaboration of Jonathan Bisson

        Despite the increasing number of bankruptcies these last few years, the taboo of bankruptcy remains. The economic consequences are but one aspect of bankruptcy: social stigmatisation and a feeling of shame or guilt often follow this difficult moment. ‘Common wisdom' dictates that bankruptcy is mainly due to poor personal finance management or to a mistake committed by the bankrupt. There is also a tendency to link bankruptcy with a moral failing, such as the incapacity to pay one's debts or meet their engagements.

        Even if such was the case, to err is human and no one could be completely safe from financial difficulties. In fact, a majority of insolvency cases are closely linked to exogenous causes: disease, a costly divorce, unemployment or court proceedings.¹ You must admit that these causes have little to do with someone's management competencies, even his or her ‘moral character.' Furthermore, some bankruptcies are caused by starting a business or investing in one. In both cases, there was a risk involved, otherwise there would be no gain in capital. Thus even with reasonable risk calculations, the possibility of failure subsides.

        The taboo of bankruptcy is not exclusive to Canada's culture. In Germany, for instance, the word debt (‘Schuld') also means ‘guilt,' and bankrupts are particularly victims of social stigma.² To remedy this situation, a group known as ‘Anonyme Insolvenzler' (Insolvents Anonymous) organises meetings between bankrupts to share their problems and adapt themselves to their new economic reality.³ Even if such a group would be beneficial in Quebec, a simple empathic and comprehensive approach will help persons in financial difficulties. After all, bankruptcy represents a new beginning, and not a condemnation.

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1.Le Quotidien, ‘La face cachée d'un sujet tabou,' January 19, 2010, Luxemburg, http://lequotidien.editpress.lu/index.php/politique-et-societe/7656-face-cache-dun-sujet-tabou.html [consulted on June 2nd 2010].
2.Le Quotidien, ‘En finir avec la honte de la faillite,' January 19, 2010, Luxemburg, http://lequotidien.editpress.lu/index.php/l-economie/7662-finir-avec-honte-faillite.html [consulted on June 2nd 2010].
3.Ibid.