While debtors’ selection of venue in Chapter 11 cases and the relevant statutes have been the subject of historical debate, the scrutiny of venue has noticeably increased with a material uptick in venue inquiries and formal objections. This brightened spotlight, however, has also had the effect of highlighting the interplay between traditional venue analysis and the cataclysmic shift in how companies operate in a post-COVID world.

In the age of virtual companies and remote work, many debtors’ operations do not fit squarely within the confines of the traditional venue analysis—they may not have one “nerve center” or principal place of business, and their assets may primarily be intangible intellectual property or contract rights without a physical location.