Carol, I would also like to comment on this proposal from Bob to you. As a few here have already mentioned, I would highly recommend signing the agreement and taking the money. That has to be the number one priority for you. Get the money back ASAP. I am sure Bob will add the dates and dollar amounts to clarify the final balance owed and the date it is due.
That has been your goal and what you deserve from the beginning. I know Bob wants to pay you and he is coming up with the money now and you can put all this behind you in 21 days!
On the bankruptcy subject, I have not filed bankruptcy, but have been thru them with different business partners, (real estate deals) and have been a creditor to people that have filed bankruptcy. This takes a lot of TIME! This will not happen over night and may be a year or more or may never happen. It is very complicated and time consuming. You getting your money now may be the best thing you can do.
As far as your post, there is plenty of information online already. Take yours down, give Bob a chance to fulfill his lastest proposal and take the money. If he falls behind on the payments, then put the post back up..
There comes a point in a negotiation that you can control the outcome. You have that control now. You send him back a list of counter offers and he may not respond and you may still be here months from now still wanting your refund.
Control your fate now and get your money.
Just want to see everyone involved become whole. Thats all... hope it works out..