Commercial Bankruptcy, Summary Judgment, Debtors

Preference pitfalls for Merchant Cash Advances—Lessons from the Southern District of New York

Eversheds Sutherland (US) LLP on 6/13/2025

Merchant cash advance (MCA) funding provides a quick, “non loan” alternative for small businesses desiring to access additional capital, and its use has become prevalent in the last decade. Given the speed at which MCA...more

Delaware Bankruptcy Court: Applying Credit Pressure on Financially Distressed Debtor Scuttles Ordinary Course Payment Preference...

Jones Day on 5/22/2025

The power of a bankruptcy trustee or chapter 11 debtor-in-possession ("DIP") to avoid pre-bankruptcy preferential transfers is an important tool designed to promote the bankruptcy policy of equality of distribution and to...more

Preference Avoidance Actions: When Late is Ordinary

Patterson Belknap Webb & Tyler LLP on 4/28/2021

A recent case shows how even late payments can be used to satisfy the ordinary course of business defense in a preference avoidance action. Baumgart v. Savani Props Ltd. (In re Murphy), Case No. 20-11873, Adv. Pro. No....more

Florida Real Property And Business Litigation Report, Volume 14, Issue 3

McGlinchey Stafford on 1/20/2021

City of Chicago v. Fulton, Case No. 19–357 (2021). The mere retention of estate property after the filing of a bankruptcy petition does not violate the automatic stay under 11 U.S.C. §362(a)(3) of the Bankruptcy Code. ...more

Is Your “Securities Claim” Actually Covered Under Your D&O Policy? A Review of In Re Verizon Insurance Coverage Appeals

Carlton Fields on 12/30/2019

The question of what constitutes a “securities claim” in the context of public company D&O policies is often debated in insurance coverage disputes, and the answer to this question can have significant effects on the scope of...more

Court of Chancery Enforces Section 145 Indemnification Rights of Subrogee

Morris James LLP on 3/20/2018

Meyers v. Quiz-Dia LLC, C.A. No. 9878-VCL (Del. Ch. Mar. 16, 2018) - This is an interesting indemnification decision for its handling of subrogation rights in the indemnification context, one involving former Quiznos...more

Tenth Circuit Confirms That a Single Payment on New Purchase Contract May Satisfy Ordinary Course Defense Under 11 U.S.C. §...

Stinson LLP on 8/24/2015

In Jubber v. SMC Electrical Products, Inc. et al. (In re C.W. Mining Co.), Case No. 13-4175 (Aug. 10, 2015), the Tenth Circuit Court of Appeals confirmed that a single payment made by a debtor within the 90-day preference...more

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