I went bankrupt a year before and I had to work hard to restore the credit over 700.

Needless to say, that developer went bankrupt and the property ended up back with the bank. 

These are the things that get you sued or bankrupt I think as an investor your time is much more valuable to find deals, work on your career or just spend personal time with family or loved ones.

The old mortgage company is the one giving me the quit claim because they went bankrupt and because of the mortgage release missed that it was their possession so can not reclaim it under the penalties of their bankruptcy. 

My trust in people degraded as my perfect for 10 years credit score went down and my never holding debt on a card or paying interest to a credit card company for 10 years when up and nearly bankrupted me over the past year.      

Cops have access to the legal system from the back side as well as code enforcement and fire department so while they are likely to be good characters if you get one that is not they can bankrupt you with little to none of their own money in the game.

Is anyone, dare I say it, actually going bankrupt because a new construction deal went sour and they wish they hadn't listened to the pied piper?  

The volatility of the market combined with the astronomical costs of marketing that it takes to create leads leaves many people bankrupt and forces even the most successful of those in this field to find easier ways to make money in order to supplement, and in some cases replace, their sporadic income that is pretty standard among wholesalers and creative investment specialists. 

There is also zero downside for any person or organization that borrows money from an institution that goes bankrupt.

If he doesn't sell, he is planning on going bankrupt.