We previously informed you that if you are a small business that needed to file bankruptcy to save your company, you may be able to take advantage of Subchapter V of Chapter 11 of the Bankruptcy Code.
Subchapter V was part...more
In a Chapter 13 bankruptcy, debtors propose a plan to re-pay all or a portion of their debts.
The amount to be repaid depends on how much the debtors earn, the amount and types of debt owed, and how much property they own....more
Many businesses in bankruptcy or heading that way – particularly retail establishments – face an uncertain future as states and cities move from closures to phased re-openings.
No one knows with certainty when the economy...more
We previously informed you that if you are a small business that needed to file bankruptcy to save your company, then you may be able to take advantage of Subchapter V of Chapter 11 of the Bankruptcy Code....more
With COVID-19 and the attempts to contain it causing cataclysmic business interruption, many small businesses may find themselves on the brink of insolvency.
While we hope that lenders, landlords, suppliers, and federal,...more
If you lend money, you know – or should know – it is a cardinal sin to collect a debt or repossess collateral after a borrower files bankruptcy.
Bankruptcy triggers the automatic stay – a command, not a suggestion, that...more
12/13/2019
/ Actual Damages ,
Automatic Stay ,
Bankruptcy Code ,
Bankruptcy Court ,
Chapter 13 ,
Creditors ,
Debtors ,
Harley-Davidson ,
Lenders ,
Punitive Damages ,
Section 362 ,
Willful Violations
Bankruptcy court is not the first place that comes to mind when a lender thinks about full recovery on a loan.
Usually, debtors file bankruptcy because they can't pay all their creditors in the ordinary course of business....more
On Friday, August 23, 2019, the President signed into law the Family Farmer Relief Act of 2019.
The Act increases the debt limit used to determine whether a family farmer is eligible for relief under Chapter 12 of the...more
8/26/2019
/ Agribusiness ,
Agricultural Sector ,
Bankruptcy Code ,
Bankruptcy Reform ,
Chapter 11 ,
Chapter 12 ,
Chapter 7 ,
Debtors ,
Farm & Fisherman Bankruptcies ,
Farms ,
New Legislation ,
Reorganizations ,
Trump Administration
Suppose you own farmland or retail commercial space and you lease your property.
What happens to your lease if the lessee files bankruptcy? And what must be done if your lessee wants to continue to honor your lease...more
8/5/2019
/ Bankruptcy Code ,
Bankruptcy Court ,
Chapter 11 ,
Commercial Bankruptcy ,
Commercial Leases ,
Commercial Tenants ,
Eviction ,
Landlords ,
Motion for Relief from Automatic Stay ,
Property Surrender ,
Sale of Assets ,
Section 365 ,
Tenants
In a victory for Chapter 13 debtors, the United States Court of Appeals for the Fourth Circuit recently issued a major decision that changes the way bankruptcy courts in North Carolina will deal with certain home mortgages in...more
Bankruptcy is meant to provide a fresh start for the honest but unfortunate debtor.
A debtor who files Chapter 7 does so with the presumption that all his or her debts will be forgiven or "discharged." But what about the...more
5/20/2019
/ Bankruptcy Code ,
Bankruptcy Court ,
Breach of Duty ,
Burden of Proof ,
Chapter 7 ,
Consumer Bankruptcy ,
Debtors ,
Dischargeable Debts ,
Fiduciary Duty ,
Fraud ,
Negligent Misrepresentation
The United States Court of Appeals for the Fourth Circuit — which covers federal courts in North Carolina — recently handed a big victory to lenders whose borrowers file for bankruptcy protection.
In SummitBridge National...more
Recently, we discussed In re CHL, a case involving a real estate developer in Chapter 11.
We focused on the importance of the Disclosure Statement as a prerequisite to a debtor's ability to move forward with a plan of...more
In my last article, I discussed how the Fourth Circuit Court of Appeals affirmed the denial of a Chapter 7 debtor’s discharge because the debtor intentionally lowballed the value of his interest in a real estate investment...more
7/6/2018
/ Adversary Proceedings ,
Appeals ,
Bankruptcy Code ,
Business Assets ,
Chapter 7 ,
Commercial Bankruptcy ,
Congressional Intent ,
Debtors ,
Dischargeable Debts ,
False Statements ,
Judgment Creditors ,
Lamar Archer & Cofrin LLP v Appling ,
Oral Communications ,
Reaffirmation ,
SCOTUS ,
Tax Returns
The United States Court of Appeals for the Fourth Circuit—which covers North Carolina—recently decided a case that will have bankruptcy debtors thinking twice about how they complete their bankruptcy Petition and Schedules....more
In an article last year, we informed you about a ruling from the United States Bankruptcy Court for the Eastern District of North Carolina, in In re Royal, holding that debtors seeking modification of a confirmed Chapter 13...more
The United States Supreme Court recently decided a case that impacts lenders and other creditors in Chapter 11 bankruptcy proceedings. The Supreme Court held that a bankruptcy court may not approve a “structured dismissal” of...more
4/10/2017
/ Absolute Priority Rule ,
Appeals ,
Bankruptcy Code ,
Bankruptcy Court ,
Chapter 11 ,
Commercial Bankruptcy ,
Consent ,
Czyzewski v Jevic Holding Corp ,
Reversal ,
SCOTUS ,
Structured Dismissals ,
WARN Act
Recently, a bankruptcy judge in the United States Bankruptcy Court for the Eastern District of North Carolina issued a ruling that should help lenders dealing with borrowers in Chapter 13. In a case entitled In re Royal, the...more