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Ninth Circuit Insulates Corporate Insider from Preference Liability

"A corporate insider who personally guaranteed" the debtor's loan was not liable on a bankruptcy trustee's preference claim when the corporate debtor repaid its lender, held the U.S. Court of Appeals for the Ninth Circuit on May 6, 2015. This article analyzes the ruling.

24 minute read October 01, 2015 at 11:45 AM
By
Michael L. Cook
Ninth Circuit Insulates Corporate Insider from Preference Liability

“A corporate insider who personally guaranteed” the debtor's loan was not liable on a bankruptcy trustee's preference claim when the corporate debtor repaid its lender, held the U.S. Court of Appeals for the Ninth Circuit on May 6, 2015.

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