Bankruptcy, Restructuring, and Creditor’s Rights Blog

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Bankruptcy, Restructuring, and Creditors’ Rights Blog Is Your Bankruptcy Filing Ripe for An Adversary Complaint? July 19, 2021 An automatic stay, which is unique to bankruptcy, generally gives breathing room to a debtor who has filed a bankruptcy.  Meaning, if there was pending litigation or attempts to collect an outstanding obligation, the majority of those actions must cease subject to a further Bankruptcy Court order that removes the automatic stay.  In a previous blog post, “Will the ‘Return to Normalcy’ Increase Tenants Seeking Bankruptcy Relief?” we broadly discussed the automatic stay and debts that are either dischargeable versus…
Bankruptcy, Restructuring, and Creditors’ Rights Blog Will the “Return to Normalcy” Increase Tenants Seeking Bankruptcy Relief? May 20, 2021 Presently no moratorium or mandate that prevents a commercial landlord from evicting a tenant in default exists.  Federal and local governments have encouraged landlords to work with their tenants during the evolving impact of the COVID-19 pandemic.  In contrast, residential tenants have been afforded a moratorium until at least June 30, 2021, in most instances.  That said, some courts have recently issued rulings deeming the Center for Disease Control’s orders related to the eviction moratorium as unconstitutional.  Unless further extended or…
Bankruptcy, Restructuring, and Creditors’ Rights Blog BANKRUPTCY AND DIVORCE: CONSIDERATIONS BEFORE FILING April 22, 2021 Introduction The pandemic has taken a toll on married couples both financially and emotionally, which has caused many to contemplate filing for both divorce and bankruptcy. This is not to say that every bankruptcy leads to a subsequent divorce, or that every divorce will warrant the filing of a bankruptcy.  However, this article provides an overview of which process should be initiated first for those couples in the unique situation of being on the brink of filing for both divorce and bankruptcy. There is not…
Bankruptcy, Restructuring, and Creditors’ Rights Blog Does my Business Qualify as a Small Business Debtor? December 2, 2020 The new Subchapter V of Chapter 11 of the Bankruptcy Code (Subchapter V) was enacted through legislation known as the Small Business Reorganization Act of 2019 (SBRA); and, went into effect on February 19, 2020. Shortly after, the COVID-19 pandemic impacted the nation. In response, and on March 27, 2020, the Coronavirus Aid, Relief and Economic Security Act (CARES Act) became effective. This brief albeit now commonly known legislation is important to consider in light of the remaining time period for the…
Bankruptcy, Restructuring, and Creditors Rights Blog COVID-19 AND BANKRUPTCY CONSIDERATIONS March 26, 2020 During these uncertain times with the national emergency of the Coronavirus (COVID-19) pandemic, the economic consequences of the virus are of the upmost concern. Bankruptcy may provide relief to both individuals and businesses. There are four different options available, and choosing among them involves various factors including the filer’s legal status, income, and goals. 1. Chapter 7 – Liquidation of an individual or business estate, overseen by a trustee. 2. Chapter 13 – Restructuring of an individual estate through a 3 to 5-year Chapter 13 Plan, overseen…
Bankruptcy, Restructuring and Creditors’ Rights Blog Does the Ninth Circuit Ruling Pave the Way for Cannabis Bankruptcies? May 14, 2019 Although cannabis has been legalized in the United States in some form by 33 states, it remains federally illegal. And since bankruptcy is a creation of federal law, most courts have quickly dismissed any bankruptcies involving cannabis operations, assets, or revenue. Flying in the face of convention, the Ninth Circuit Court of Appeals recently gave the green light to a Chapter 11 plan of reorganization that included revenue from cannabis. Will the flood gates open? Probably not. The case, Garvin…