A number of lessons may be learned from representing clients in the bankruptcy filings in the retail and restaurant industries.
Bankruptcy law is changing around the world, away from the liquidation model and toward the model of corporate rescue. Additionally, these changes reflect movement toward venue competition for the business of hosting international bankruptcy cases.
A recent case provides ten elements that courts and professionals may use to determine if vendors should receive critical vendor payments.
In the year since its enactment, more than 1,500 businesses and individuals have filed cases under the Small Business Reorganization Act.
Prior to the COVID-19 pandemic, the Bankruptcy Code generally has been interpreted to require debtors to pay rent obligations on time under unassumed real property leases as those obligations arose post-filing and pre-rejection. This result was driven by 11 U.S.C. § 365(d)(3), which requires the debtor to “timely perform” all obligations until the lease is assumed or rejected, with one narrow exception.
The most important part of the process is assessing the alternative methods to wind down a business, choosing the right approach and executing on the plan.
As financial distress grows due to the pandemic, charitable organizations are faced with two immovable forces–increased demand from hard hit communities and decreased funding due to both the economic hardships facing many donors and the cancellation of most live fundraising events.
Reps and warranties insurance, which has become common in conventional M&A transactions, is now being marketed for use in distressed transactions, including 363 bankruptcy sales. How will that work and can it help facilitate a more robust and competitive sale process?
Minnesota exemptions were recently updated, increasing the amount of assets that individuals may protect.
Serving Up Some Help: How Subchapter V Can Solve Problems for Service Industry Debtors During the Time of COVID-19
As COVID-19 continues to devastate the U.S. and local economies, the service industry in particular has experienced substantial declines in both business and profits. However, the new Subchapter V of Chapter 11 of the Bankruptcy Code and the CARES Act have provided service industry debtors with new and potentially life-saving tools to solve their unique debt issues moving forward.