Rethinking Bankruptcy: The Importance Of Focusing On Technology

Bankruptcy is a formal process geared toward preserving stakeholder value. Often, the proceedings include negotiations between stakeholders that are arduous, time-consuming and expensive. As such, the main focus during bankruptcy tends to be on completing the process, rather than positioning the company for healthy and sustainable growth after emergence.

This limited focus is certainly understandable, given all the pressures and constraints that accompany bankruptcy. And it is amplified by the rise of pre-packaged and pre-arranged […]

By | September 1st, 2022 ||

Best Practices To Limit Preference Liability Exposure In Bankruptcy

As the saying goes, what goes up, must come down. After years of robust growth, the U.S. economy appears to be hitting a rough patch. In the coming months, it is likely that some businesses will not survive the challenges that lie ahead, and will be forced to file bankruptcy.

As bankruptcy attorneys, we find that one of the most difficult issues to explain to a client is receipt of a demand letter from a […]

By | August 25th, 2022 ||

The Future Of Small Business Bankruptcies And Creditors’ Committees After The SBRA: In Re Bonert And In Re Lear Capital

With the passage of the Small Business Reorganization Act (the “SBRA”) in 2019,1 Congress made significant changes to the Bankruptcy Code2 that affect small businesses.3 These changes include removing the appointment of a creditors’ committee as a matter of course for small businesses and the creation of subchapter V,4 a new, additional, and streamlined bankruptcy option for eligible small businesses.5 Two recent cases, In re Bonert6 and In re Lear Capital, Inc.,7 offer an opportunity to examine these changes and may offer insight […]

By | August 13th, 2022 ||