ABI

JANUARY 19, 2024

held that a secured creditor has the right to receive monetary payment for property sales based on its lien on “accounts.” The Bankruptcy Court further held the secured creditor's prepetition lien on accounts did not extend to proceeds from court-approved postpetition sale of real property. the “Debtor”) $1.5

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Secured Creditor Bankruptcy Debtor Collateral 40

Sawin & Shea

APRIL 24, 2024

Before someone makes a bankruptcy filing, it is not uncommon for debtors to feel as if they have to make some tough decisions. Which creditors can they pay? This typically occurs because the debtor doesn’t have the money to pay all of their creditors, so they feel they need to rank which ones are more important to pay first.

Bankruptcy 52

Bankruptcy Unsecured Creditor Debtor Creditors 52

PBWT

OCTOBER 27, 2021

The debtor operated 28 franchise restaurants primarily in the Sun Belt region. The debtor encountered financial problems related to the onset of the COVID-19 pandemic, resulting in a chapter 11 filing in April 2021. In re Platinum Corral, LLC , No. 21-00833-5-JNC, 2021 WL 4695327 (Bankr. Bankruptcy Judge Joseph N. ’" Id.

Creditors 59

Creditors Debtor Collateral Unsecured Creditor 59

Sawin & Shea

JANUARY 25, 2022

Secured and unsecured debt is handled differently in Chapter 7 vs. Chapter 13. What is Secured Debt? Secured debts are a type of debt backed by an asset that is used as collateral. However, if you file for bankruptcy, it can put a pause on debt collection, including actions by secured creditors.

Unsecured Debt 52

Unsecured Debt Collateral Secured debt Bankruptcy 52

Fraser

JUNE 25, 2020

The petition date is the date on which a debtor files a chapter 11 bankruptcy proceeding. The debtor is required to serve all known creditors with notice of the commencement of the chapter 11 case. Such relief may include a request to pay some unsecured creditors (such as employees or “critical vendors”) ahead of others.

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Creditors Bankruptcy Unsecured Creditor Debtor 72

Consumer Financial Services Law

JANUARY 31, 2020

The Court also considered and rejected a related argument made by the debtor that Section 362 should be read in pari materia with 542(a)’s “allegedly self-effectuating” turnover provision. Section 542 provides that an entity in possession, custody, or control of property of the debtor “shall deliver” the property to the bankruptcy trustee.

Collateral 40

Collateral Repossession Bankruptcy Chapter 13 bankruptcy 40

PBWT

JANUARY 19, 2021

In 2019, we began following a Circuit split regarding a secured creditor’s obligation to return collateral that it lawfully repossessed pre-petition after receiving notice of a debtor’s bankruptcy filing. ” [ii] In December, the Supreme Court granted certiorari and on Thursday adopted the minority view.

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Bankruptcy Debtor Creditors Repossession 65

Debt Free Colorado

MARCH 3, 2023

This type of bankruptcy does not stop secured creditors from seizing your property, so if you have money to pay the debt, this isn’t the best option to take. This type of bankruptcy enables the debtor to combine their debts, reach an agreement on a lower overall number and submit to a three-to-five-year plan for debt repayment.

Bankruptcy 52

Bankruptcy Chapter 13 bankruptcy Credit Counselor Chapter 7 bankruptcy 52

Collection Industry News

SEPTEMBER 29, 2020

The Bankruptcy Court retains discretion to extend these deadlines for “circumstances for which the debtor should not justly be held accountable.”. Similarly, debtors must file financial reports required by Section 1116(1) on the petition date, periodic performance reports required by Section 308, and their schedules and statements.

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Bankruptcy Creditors Debtor Lawyers 45

Debt RR

DECEMBER 13, 2019

Many businesses are both debtors and creditors. Debt can also be secured using intellectual property, equity, and other soft debt. Missing payments on secured debt causes the creditor to repossess the property as recourse. Some creditors issue bonds, which demand principal and interest payments. Noteholders.

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Chapter 7 bankruptcy Bankruptcy Creditors Retail 42

BN Lawyers

MARCH 23, 2020

Taking additional debt in that situation just dilutes recovery for creditors and opens management up to potential liability. If so, the company may qualify as a small business debtor under the Small Business Reorganization Act of 2019 (the “ SBA ”). Drawing on secured credit facilities is less of a winning proposition.

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Bankruptcy Creditors Lender Lawyers 67