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Debtors Liens

Offit Kurman

Acquisition Strategies: Navigating Section 363 Sales and the Impact of Undersecured Liens

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Section 363 of the Bankruptcy Code allows a Chapter 11 debtor to sell assets "free and clear" of existing claims, liens, encumbrances, and other liabilities. This provision facilitates expedited sales that might otherwise be...more

Troutman Pepper Locke

Navigating Jurisdictional Pitfalls: Lessons From Global One Media, Inc. v. Newtek Small Business Finance, LLC on Lien Filing...

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The Ninth Circuit Bankruptcy Appellate panel recently reaffirmed the longstanding principle that a UCC-1 financing statement securing personal property must be filed at the debtor’s location. In a recent case, the lender did...more

Loeb & Loeb LLP

SDNY Bankruptcy Court Explains Differences Between Preferential Judicial Liens v. Statutory Liens

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In Firstbase.io, Inc. v. Harbor Business Compliance Corporation, No. 24-04043, 2025 Bankr. LEXIS 1092 (Bankr. S.D.N.Y.), the U.S. Bankruptcy Court for the Southern District of New York found that a judgment execution lien...more

Stotler Hayes Group, LLC

Lien on Me – How an Attorney Can Help Secure Your Debt

Too often creditors are faced with accounts that are seemingly uncollectable. If the debtor had money on hand to pay, presumably they would not have incurred the debt at all, right? Especially in the realm of medical debt,...more

Eversheds Sutherland (US) LLP

In re Urban Commons 2 West LLC (Bankr. SDNY Mar. 4, 2025)

Bankruptcy Court Elects to Follow Majority Interpretation of 11 U.S.C. § 363(f)(5) On March 4, 2025, the United States Bankruptcy Court for the Southern District of New York (the Bankruptcy Court) issued a significant...more

Hudson Cook, LLP

Vehicle Titles in the Age of the Internet

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Unlike most items of personal property, a motor vehicle usually has a certificate of title. We all know that the point of a vehicle title is to show who owns the vehicle and who (if anyone) has a lien on it....more

Goodwin

Credit Bidding: Converting Secured Loans to Winning Bids

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When a company enters bankruptcy, its assets are often sold to the highest or best bid. Secured lenders — those who have perfected liens on the company's assets — have a unique advantage under Section 363(k) of the Bankruptcy...more

Ropes & Gray LLP

Law Reviews, Dictionaries, and Uptiers: The Fifth Circuit Weighs In on Serta

Ropes & Gray LLP on

Market participants might be wary of opinions that begin with a recitation of academic literature and then turn to dictionaries. The former tend to be authored with an eye toward systemic change rather than direct experience...more

Lasher Holzapfel Sperry & Ebberson PLLC

Judgment Collection: Using Charging Orders to Acquire LLC Membership Interests

Judgment creditors often encounter challenges when trying to collect a debt when a debtor’s assets are held in a limited liability company (LLC), as opposed to assets held directly in the debtor’s name. However, creditors...more

Freiberger Haber LLP

Renewal Judgments Under CPLR 5014 in the Face of Defective Service of Process

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By Jonathan H. Freiberger Today’s article relates to renewal judgments under CPLR 5014 in the face of potentially defective service of process. This BLOG has previously addressed CPLR 5014...more

Levenfeld Pearlstein, LLC

Should We ‘Second’ That? A ‘Top Ten’ Due Diligence Checklist for the Litigation Finance Secondaries Market

Given the recent growth of the secondaries market in the litigation finance space, Secondary Investors should consider how to best approach their review of potential transactions. In addition to the economics of a given...more

Porter Hedges LLP

The Owner’s Dos and Don’ts When a General Contractor Files for Chapter 11 Bankruptcy

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This blog post addresses: (1) steps to be taken, (2) issues to be aware of, and (3) recovery prospects when a general contractor files for bankruptcy protection under Chapter 11 of the Bankruptcy Code, from the owner’s...more

King & Spalding

Texas Bankruptcy Court Awards Majority Stake in Reorganized Debtor to Unsecured Creditors After Avoiding the Value of the...

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On August 3, 2023, the U.S. Bankruptcy Court for the Southern District of Texas found that the majority of the shares of stock of a reorganized debtor should be allocated to unsecured creditors, and not the secured creditors,...more

Warner Norcross + Judd

M&A Strategy Update: Union Contracts and Section 363 Sales

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In the right situations, the United States Bankruptcy Code provides powerful tools for acquiring distressed companies and realizing economic value, including synergies from vertically integrating suppliers or customers, or...more

Perkins Coie

Is There an Easter Egg in the Celsius Earn Accounts Opinion?

Perkins Coie on

“Easter eggs are basically messages or particular references deliberately hidden throughout a movie that the usual movie-goer often fails to notice but they are always there.” Most articles about Chief United States...more

Blank Rome LLP

Security Interests and Liens Priorities

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This practice note discusses the requirements for the attachment and perfection of consensual security interests in personal property under Article 9 of the Uniform Commercial Code (UCC). A security interest is said to attach...more

Foley & Lardner LLP

11 Key Strategies to Protect Your Company’s Supply Chain and Mitigate Risks Against Financially Distressed Customers and Suppliers

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As we pass the midpoint of 2022 and the world expresses a collective sigh of relief that the worst of the COVID-19 pandemic seems to be behind us, a perfect storm of extraordinary factors is creating conditions for financial...more

Goodwin

Intercreditor Agreements and the Bankruptcy Code

Goodwin on

There is no set of fixed rules when negotiating intercreditor arrangements as every deal is fact-specific, generally subject to significant negotiation and ultimately dependent on competing business rationales and negotiating...more

Troutman Pepper Locke

Bankruptcy Court Holds Title Holder Consent Is Enough to Give Collateral Rights to Debtor to Grant Liens

Troutman Pepper Locke on

On April 28, the U.S. Bankruptcy Court for the N.D. of Oklahoma in Kirtley v. Mabrey Bank (In re Rudick) held that an entity other than the debtor may grant a lien on the debtor’s property, affirming the legal standard that...more

Nelson Mullins Riley & Scarborough LLP

Creditor Not Entitled to Post-Sale Discovery to Attempt to Amend Sale Proceeds Distribution

In In re Squirrels Rsch. Labs, LLC, No. 21-61491, 2022 WL 1310173, at *1 (Bankr. N.D. Ohio Apr. 29, 2022), the United States Bankruptcy Court for the Northern District of Ohio recently addressed whether post-sale of the...more

Quarles & Brady LLP

Intercreditor Agreements in Bankruptcy: How Intercreditor Agreements shape the proceedings and outcomes for secured creditors

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Junior and Senior Lenders work hard to negotiate Intercreditor Agreements. What difference does it make? Isn’t it enough to simply agree that the Junior Lender is in a junior position? This article follows a borrower,...more

Lowenstein Sandler LLP

Do Not Take Consignments Lightly

Lowenstein Sandler LLP on

While things worked out for vendors who did not file a UCC-1 in the Sports Authority Chapter 11, you may not be so lucky. Never assume that it is not necessary to properly perfect a consignment arrangement by filing a...more

Womble Bond Dickinson

New Arizona Law Expands Rights of Judgment Creditors

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A new law in Arizona, HB 2617, makes significant changes to Arizona’s homestead exemption and expands the rights of judgment creditors. The law went into effect on January 1, 2022, but creditors with judgments entered before...more

Jones Day

An Equitable Tightrope: Blackjewel's Balancing Act on After-Acquired Property in Bankruptcy

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It is well recognized that, in keeping with the "fresh start" or "rehabilitative" policy, the Bankruptcy Code invalidates after-acquired property clauses in prepetition security agreements, but also includes an exception to...more

Patterson Belknap Webb & Tyler LLP

Recent Decision on Derivative Standing by a Creditors’ Committee to Challenge a Lender’s Liens

In many chapter 11 cases, creditors’ committees can play a vital role in maximizing the recoveries of unsecured creditors. But the powers of creditors’ committees are circumscribed by both the Bankruptcy Code and case law....more

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