One type of financial reform being proposed to deal with the aftermath of the housing crisis is allowing bankruptcy judges the authority to modify residential mortgages in a way referred to as a stripdown. The reform is seen by some as a partial solution to the rise in foreclosures and as a Pandora’s box by others. But the debate is not new one...this Economic Commentary looks back at the 1980s’ farm lending crisis, the debate surrounding Chapter 12 bankruptcy, and the lessons to be learned for the current debate on Chapter 13 stripdowns.