At the motion to dismiss stage, courts usually won't consider affirmative defenses. This issue arose recently in a preferential transfer case, where a defendant sought to dismiss a complaint by arguing it was a mere conduit, not an initial transferee.
This article focuses on the cure requirement under Section 1124(2)(A), highlights how courts have interpreted the interplay between Section 1124(2)(A) and related Bankruptcy Code provisions, and suggests best practices to ensure that creditors are not leaving money on the table.
The Second Circuit affirmed the lower courts' judgment that a "transfer made … in connection with a securities contract … by a qualifying financial institution" was entitled "to the protection of ... §546 (e)'s safe harbor ...."
Given the downward pressure on commercial real estate valuations in many areas, and the increasing likelihood that owners of real property will cease paying real property taxes when there is no longer any equity, we decided to report on a recent decision issued by the Ninth Circuit that reversed a decision of the bankruptcy court allocating the distribution of the proceeds of a sale of real property pro rata between the IRS, on account of its tax lien, and the bankruptcy estate.
Subchapter V Filings for a recently crafted bankruptcy option meant to help small businesses overcome financial distress have plummeted after the U.S. Senate failed to pass a law that would keep its restrictions in place.
The presidential vote is just a few days away, but the ballots in Johnson & Johnson's talc bankruptcy have lawyers already asking for a recount. At an Oct. 21 hearing, lawyers for thousands of talcum powder claimants clamored to crack open the confidential vote tabulation behind J&J's $9 billion prepackaged bankruptcy plan.
Large corporations filing for bankruptcy continue to turn to Delaware more than any other venue nationwide, according to a new report from Cornerstone Research. While Delaware has long tallied more large corporate bankruptcies than any other jurisdiction, the gap between it and the next most popular venue, the Southern District of Texas, has widened in 2024.
Appellate courts continue to use common sense when disposing of constructively fraudulent transfer appeals, as recent decisions show.
Where it applies, Subchapter V has been a great success. But, much of that success was due to a temporary change to the law that allowed more companies to qualify for Subchapter V treatment. That change has now expired, taking with it the only viable avenue for many businesses to reorganize.
How do you check on a company's creditworthiness when the company is privately held and does not make its financial statements publicly available? The answer is that you need to check alternative sources of information for hints as to whether the company is experiencing problems. This article provides some questions to ask to help recognize the warning signs in the answers.
