Remove Creditors Remove Debtor Remove Judgment Remove Manufacturing
article thumbnail

New Court Ruling on Whether Avoidance Powers Require Benefit to Creditors

PBWT

The Bankruptcy Code grants the power to avoid certain transactions to a bankruptcy trustee or debtor-in-possession. Is there a general requirement that these avoidance powers only be used when doing so would benefit creditors? Glove, Inc. (“Plaintiff”) is a manufacturer of gymnastic grips and wrist supports.

article thumbnail

Bankruptcy Court Won’t Dabble in Case Concerning a Marijuana Business

PBWT

“[E]nsnared between his involvement in a business that is legal under the laws of Arizona but illegal under federal law,” one debtor’s chapter 13 petition was recently dismissed due to his undisputed violations of the Controlled Substances Act. ” Facing significant debt, Mayer filed a chapter 13 petition in the U.S.

Insiders

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

Supreme Court Expands Creditors’ by Allowing Denial of a Discharge Under Sec. 523(a)(2)(A) if Debtor Transfers Assets in Violation of State Fraudulent Transfer Statute

The Creditors Rights

Section 523(a)(2)(A) of the Bankruptcy Code allows a creditor to obtain a judgment denying its debtor a discharge of debts incurred by false pretenses or actual fraud. Chrysalis Manufacturing Corp. Ritz , 2016 WL 2842452 (2016). Over a period of four years, Chrysalis incurred a debt to Husky totaling over $160,000.

article thumbnail

Debt Collection Settlements: Can Parties Include Terms for Future Deals

FFGN COLLECT NY

An issue that comes up time and time again in debt collection settlements is whether parties can continue doing business together even though the creditor has placed the account for collection. The debtor may allege their business can not survive without the creditor’s product. It happens more often than you would think.

article thumbnail

Burr & Forman Names Eight New Partners Across Five Offices

Burr Forman

Meryl Cowan is a member of the firm’s Labor & Employment group where she represents employers, manufacturers, and companies in all aspects of general employment, labor, and employment discrimination law.