Bankruptcy Letter of Intent. Just like anything else in life, if you are planning a drastic change you should probably inform those who will be affected. The importance of keeping people informed is a requirement in some circumstances. A "letter of intent" is used in these situations. This letter informs companies or the public that future legal proceedings will occur.
The LOI as it is now used is a misunderstood application of poorly informed brokers and traders. A more proper application based on established custom and practice in International trade, going back even to the old medieval "Law Merchant" (Lex Mercantilis) isɅ. Buyer requests a quotation _ in modern usage this is an RFQ/Request For Quotation _ NOT an LOIǎ. Seller may then reply with a Quote. Buyer confirms receipt of quoted prices, and requests an OfferǏ. Seller replies with an offer (the firm or full offer is the so_called "FCO" in Internet Broker_speak).