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How to Avoid Insider Preference Liability

The Tenth Circuit held on July 15, 2008, that a major creditor with a seat on the debtor's board of directors and a 10.6% equity interest was not an insider in a bankruptcy preference suit. As shown in this article, the decision contains a road map for corporate insiders on how to avoid preference liability.

28 minute read September 24, 2008 at 02:09 PM
By
Michael L. Cook
How to Avoid Insider Preference Liability

The Tenth Circuit held on July 15, 2008, that a major creditor with a seat on the debtor's board of directors and a 10.6% equity interest was not an insider in a bankruptcy preference suit.

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