Within Chapter 11 cases, navigating preferences can be a complex and arduous process that requires strategic foresight and hands-on experience. In charting one’s course through bankruptcy proceedings, there are specific pitfalls and considerations that debtors, creditors, and their legal and financial advisors should be aware of and approach carefully when preference actions are involved.
While there are many potential issues surrounding preference actions that could play out in a Chapter 11 case within any industry, retail restructurings can bring certain considerations. In the current economic environment, a retailer filing for bankruptcy will likely either sell substantially all of its assets or use the Chapter 11 process to reorganize its business and continue on as a going-concern. In either situation, there are numerous factors that financial advisors and other involved professionals must understand and evaluate before determining the best approach when it comes to addressing preference claims.
A Brief Overview of Preference Claims
This content has been archived. It is available through our partners, LexisNexis® and Bloomberg Law.
To view this content, please continue to their sites.
Not a Lexis Subscriber?
Subscribe Now
Not a Bloomberg Law Subscriber?
Subscribe Now
LexisNexis® and Bloomberg Law are third party online distributors of the broad collection of current and archived versions of ALM's legal news publications. LexisNexis® and Bloomberg Law customers are able to access and use ALM's content, including content from the National Law Journal, The American Lawyer, Legaltech News, The New York Law Journal, and Corporate Counsel, as well as other sources of legal information.
For questions call 1-877-256-2472 or contact us at [email protected]
