BED BATH & BEYOND FILES FOR CHAPTER 11 BANKRUPTCY IN THE UNITED STATES BANKRUPTCY COURT DISTRICT OF NEW JERSEY
Co-Authored by Courtney Schroeder On April 23, 2023, Bed Bath & Beyond Inc., et al., filed a voluntary petition for Chapter 11 bankruptcy under the United States Bankruptcy Code. The company was compelled to file after failing to secure funds to maintain operations. The home goods retailer based in Union, New Jersey filed for protection […]
Debts for a Partner’s Fraud Are Confirmed to be a Nondischargeable Debt According to the Supreme Court’s Opinion
In a unanimous opinion by the Supreme Court, the Court held an innocent partner liable for the fraud of another partner. Should the innocent party declare bankruptcy, the bankruptcy code would bar a discharge of the debt because it was obtained by false pretenses, a false representation or actual fraud. In Bartenwerfer v. Buckley, prior […]
THE (NOT SO) SAFE HARBOR DEFENSE
Dealing with a financially distressed customer? Considering how to avoid a fraudulent transfer a claw-back in the customer were to seek bankruptcy protection? Some creditors have attempted to shield themselves from such actions by conducting the transfers through a financial institution. Well, not so fast. In the case of FTI Consulting, Inc. v. Merit Mgmt. […]
A BALANCE OF POWER
WHICH LEVEL COURT IS BEST POSITIONED TO DECIDE THE QUESTION OF “INSIDER” STATUS UNDER THE BANKRUPTCY CODE? Determining whether a creditor or interested party to a bankruptcy proceeding is an “insider” is often critical. In Chapter 11 proceedings, if the Bankruptcy Court determines a creditor to be an insider, then he or she is not […]
REAL PROPERTY MORTGAGES, SECTION 707(b) OF THE BANKRUPTCY CODE, AND THE APPLICABLE APPELLATE STANDARD: HOW THE NINTH CIRCUIT DISTINGUISHED BETWEEN QUESTIONS OF LAW AND FACT
Co-Authored by Geoffrey E. Lynott Determining whether you qualify under Chapter 7 or Chapter 13 of the Bankruptcy Code is critical when seeking bankruptcy protection. The Bankruptcy Code limits a consumer debtor’s ability to discharge his or her debts as opposed to a debtor that incurs mostly business related debts. Enter Paul Cherrett. Mr. Cherrett […]
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