History of Bankruptcy: From Gyro to Nero in the Ancient Mediterranean
We’ll continue our journey through debt relief history by moving on to two of the world’s most famous ancient civilisations: Greece and Rome. Fun fact: the author of this blog has a degree from the University of Arizona in ancient history and archaeological studies.
The history of ancient Greece in regards to debt relief is very similar to the Mesopotamia region, as we discussed during our last blog. At first, the rules were very harsh for those who failed to pay their debts. According to the Athenians’ Constitution, the punishments were harsher than they are today. Athenian debtors who defaulted on debt obligations were forced to surrender land to their creditors and become serfs. They would continue to cultivate the land they owned and give a sixth of their yields to their creditors. The debtor’s family became slaves to the creditor if the debt was greater than the assets. Solon of Athens enacted the Seisachtheia reforms in the sixth century B.C.E. due to a worsening debt crisis. This reform had a wide-ranging impact that could be the subject of a book. In short, it helped shake up the stagnant financial system, and laid the foundation for Athens’ renowned democratic government. Athens wasn’t the only city state in Greece. Sparta, another well-known military power, also implemented debt cancellations around three centuries later. Why? Roman texts show that Romans did have debts. Tacitus wrote that interest rates in Rome were a “pervasive evil” and a source of discord and strife among the Roman populace. Yet, debt reforms like the banning serfdom or capping usury rates never lasted for very long. Over the long history of Rome, governments have responded to debt relief in a variety of ways: refusing to adjust debts, making payments more affordable without releasing secured assets (such a reduced interest rate), giving debtors’ assets to creditors and partial forgiveness.
But what should you care about the actions of people wearing togas and chitons? Your financial problems are right now! Debt relief is an ancient concept and no matter how you feel, you are not alone in your financial worries. Call now for a free strategy session with a MN bankruptcy lawyer at LIFEBACK LAW FIRMS
If your goal is to learn more about your options in debt relief or bankruptcy, then come speak with Minnesota’s most friendly bankruptcy attorneys. Visit
www.lifebacklaw.com
and schedule a consultation today.
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