News & Analysis as of

Debtors Uniform Commercial Code (UCC) Chapter 11

ArentFox Schiff

Understanding Suppliers’ Rights and Remedies in Retail and Hospitality Bankruptcies

ArentFox Schiff on

On May 14, Outfox Hospitality LLC, the parent company of the retail chain Foxtrot Market, along with its affiliates, filed for Chapter 7 bankruptcy protection in the Bankruptcy Court for the District of Delaware, with the...more

Seward & Kissel LLP

Building Blocks, LTL 2.0 DOA, FTX First Try, and UST Last Chance Saloon

Seward & Kissel LLP on

BlockFi’s Chapter 11 plan progresses with conditional court approval | Cointelegraph - United States Bankruptcy Court for the District of New Jersey recently conditionally approved Blockfi’s disclosure statement. If the...more

Lowenstein Sandler LLP

Do Not Take Consignments Lightly

Lowenstein Sandler LLP on

While things worked out for vendors who did not file a UCC-1 in the Sports Authority Chapter 11, you may not be so lucky. Never assume that it is not necessary to properly perfect a consignment arrangement by filing a...more

Cozen O'Connor

Yeah, About That Consignment Agreement … How You Can Lose Your Goods in a Retail Bankruptcy

Cozen O'Connor on

You just heard a rumor that your largest retail customer is in financial distress and may file for bankruptcy. After a moment of panic, you review your consignment agreement with the retailer (this assumes that you have a...more

Moritt Hock & Hamroff LLP

Equipment Lessor's Damages Calculation Ruled Unenforceable

In a related update, we called attention to risks and pitfalls to lenders and lessors when seeking prepayment premiums and other charges upon the occurrence of an event of default: Lenders Beware: Acceleration May Defeat...more

Tucker Arensberg, P.C.

Protecting a Consignor’s Interests in Retail Bankruptcy

Tucker Arensberg, P.C. on

A recent decision from the United States Bankruptcy Court for the District of Delaware has a significant impact on both lenders and consignors in retail bankruptcy cases. On April 12, 2019, Judge Mary F. Walrath issued an...more

Patterson Belknap Webb & Tyler LLP

A Gigantic Filing Error Provides an Opportunity to Expound the Earmarking Doctrine

Can another vain attempt to mitigate a $1.5 billion mistake provide the occasion for a thorough review of the doctrine of earmarking? It did for Southern District Bankruptcy Judge Martin Glenn in the long tail on the General...more

Jones Day

A Lesson in DIP Financing Due Diligence

Jones Day on

The Bankruptcy Code contains an array of provisions designed to encourage lenders to provide debtor-in-possession ("DIP") financing in chapter 11 cases, including authorization of "superpriority" administrative expense claims...more

Dickinson Wright

Recent Case Law Developments Impact Claims of Unpaid Suppliers for Goods Delivered Immediately Prior to Customer Bankruptcy

Dickinson Wright on

Section 503(b)(9) of the Bankruptcy Code (11 U.S.C. §503(b)(9)) provides a special administrative priority claim for someone that supplies goods to a debtor in the 20 day period before the bankruptcy filing, but is unpaid as...more

Kramer Levin Naftalis & Frankel LLP

Suppliers Beware: Two Recent Cases (in Third Circuit and Delaware) Hold that Debtor Must Physically Possess Goods Within Statutory...

Amidst a surge in retail bankruptcies, two recent decisions construing section 503(b)(9) of the Bankruptcy Code directly limit suppliers’ ability to seek administrative claims for goods shipped to a debtor in the period...more

Blank Rome LLP

Anticipating and Managing Bankruptcy Risk

Blank Rome LLP on

Blank Rome Partner Ira Herman authored “Anticipating and Managing Bankruptcy Risk,” a series of articles prepared for the Financial Restructuring & Bankruptcy module of Lexis Practice Advisor, a comprehensive practical...more

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