This article provides a discussion of the June 9, 2021 decision 'In re KG Winddown,' where U.S. Bankruptcy Judge Martin Glenn clarified some unresolved issues about structured dismissals in Chapter 11 bankruptcy cases that stemmed from the 2017 U.S. Supreme Court decision in 'Czyewski v. Jevic Holding.'

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.

General experience with the §362 automatic stay in bankruptcy proceedings might lead counsel who are not bankruptcy specialists to conclude that the stay covers all parties in the same way, including government entities. The correct answer is both yes—and no.

While some of the concerns regarding nonconsensual third-party releases may be valid, the Nondebtor Release Prohibition Act of 2021 goes too far in limiting what can, in the right circumstances, be a valuable tool in restructurings.

Despite its formal name—the Small Business Reorganization Act—the statute colloquially known as "Subchapter V" may offer a streamlined reorganization vehicle for some middle market companies.