Given the broad and diverse impact that the COVID-19 pandemic has had on the economy since 2020, it’s become apparent that a comprehensive and maintained operating model can position lower-middle-market companies to successfully sustain operations — especially in unprecedented circumstances.
Committees
ABI’s committees focus on specific areas of insolvency and provide committee members with a platform to share knowledge and ideas. Each committee publishes quarterly newsletters with articles authored by committee members, and hosts periodic webinars that showcase committee members and their practices.
In a recent decision from the U.S. Bankruptcy Court for the District of Nevada, three proofs of claim filed on behalf of LVNV Funding, LLC — a creditor assignee in the chapter 13 bankruptcy case commenced by Antonia Andrade-Garcia — were disallowed because the statute of limitations on the underlying claims had long ago expired.
Since the passage of the modern version of the Bankruptcy Code in 1978, chapter 11 has been used as a tool by debtors to address mass litigation liabilities.
On March 29, 2021, in In re BK Technologies Inc.,[1] newly appointed Chief Bankruptcy Judge McKay Mignault dismissed the first Small Business Reorganization Act (SBRA) case filed in West Virginia due to a lack of a realistic ability to reorganize and the debtor’s bad faith.
In a recent decision in “a matter of first impression,” the U.S. Court of Appeals for the Third Circuit squarely rejected the view that “triangular setoffs” fall within the protective circle of § 553 of the Bankruptcy Code.
On March 27, President Joseph Biden signed the COVID-19 Relief Extension Act into law. The Act extends for another full year the provisions of the Coronavirus Aid, Relief and Economic Security Act (CARES Act) that temporarily modified the Bankruptcy Code and the Small Business Reorganization Act of 2019 (SBRA), or subchapter V of chapter 11.
In 2020, New York State passed the COVID-19 Emergency Eviction and Foreclosure Prevention Act of 2020[1] (“moratorium”).
Secured creditors whose collateral includes its borrowers’ accounts are empowered by Article 9 to collect money that is owed to borrowers from their borrowers’ account debtors, by a simple notice process. The secured creditor can notify account debtors of the security interest and advise them that they should pay the secured creditor directly, instead of paying the borrower.
