DailyDAC
Share this...

Business Bankruptcy

Chapter 11 Debtor’s Reporting Obligations

Reporting Requirements Make the Debtor More Transparent One of the  central principles of bankruptcy is that a debtor should have the benefit of a “fresh start.” However, to accord such relief, the Bankruptcy Code, Bankruptcy Rules, and case law require transparency from the debtor and other parties in interest. As such, strict compliance with reporting […]


Not Necessarily Free and Clear I: Purchasing Real Estate Property in a Section 363 Sale

Just Because A 363 Sale Says Free and Clear, Does Not Mean It Is Free and Clear A bankruptcy debtor is offering commercial property in a section 363 sale. It is an attractive property and Lou is considering purchasing it. Lou has heard that a section 363(b) sale “cleans” the assets of all liens, claims, […]


File Early and Often: Filing and Amending Claims in a Bankruptcy Case

A Primer for Those Holding Bankruptcy Claims Against a Debtor Bankruptcy claims do more than simply determine the amount of money a creditor is owed or can receive as a distribution. Claims also can generate clout. Clout enables a creditor to sit on a creditor committee, have more leverage in negotiations, and claim a higher-priority […]


Location, Location, Location – Where to File Bankruptcy

The Hows and Whys of Which Bankruptcy Venue to Choose Are you confused where to file bankruptcy? Do you wonder why you should file a bankruptcy case here instead of there? An entity, and more so a group of entities, may be legally permitted to file for bankruptcy in any one of a number of […]


90 Second Lesson: I’ve been asked to sign an involuntary bankruptcy petition. Should I?

QUESTION: The credit manager of an Akron-based company wrote, asking this: “One of our commercial accounts is pretty far behind in paying on our invoices. Another vendor approached me and asked me to join in signing an involuntary bankruptcy petition. Is there any legal risk in doing this? ANSWER: In a word, yes. If an […]


A Chapter 11 Debtor Need Not Be Broke

A Solvent Debtor Is Not an Oxymoron Suppose that your borrower or customer files a chapter 11 case.[i] You do not like this because you’ll almost certainly not collect the full amount owed to you and to get anything you’ll have to get involved with a bankruptcy case and hire attorneys. Your discontent becomes fury […]


Commerical Bankruptcy Litigation

The 2019 edition of Commercial Bankruptcy Litigation was just released by West Publishing Company. This 2,000+ page treatise, with contributions from dozens of top firms across the US, is designed with the non-bankruptcy attorney intended to be its primary reader. The treatise is divided into three sections: (a) “Fundamentals,”, with chapters covering the basics of […]


90 Second Lesson: To Stalk or Not to Stalk? Why be a Stalking Horse Bidder?

QUESTION: Jamie S. emailed recently, asking “Can you please sum up the pros and cons of serving as the “stalking horse” in a bankruptcy sale? ANSWER: Yes, Jamie, we can. A stalking horse bidder plays an important role in many bankruptcy acquisitions, and one of the most important decisions confronting a purchaser in a bankruptcy acquisition […]


Strategic Alternatives For And Against Distressed Businesses

The 2019 edition of Strategic Alternatives For And Against Distressed Businesses was just released by West Publishing Company. This 1,800+ page treatise, which is a product of more than 100 contributors, is the only resource which provides a state-by-state comparison on a chapter-by-chapter basis of assignments for the benefit of creditors and receiverships. DailyDAC / […]


Considerations When Selling a Bankruptcy Claim

One of your customers sends you notice it has filed for chapter 7 or chapter 11 bankruptcy protection rather than the payment for goods or services provided that you were expecting. You understand that you now have a “claim” against the “debtor,” in bankruptcy parlance. You are not quite sure you want to deal with […]


>