On February 5, 2015, RadioShack and various related entities filed chapter 11 petitions for bankruptcy in the United States Bankruptcy Court for the District of Delaware. We initially published a blog post about the filing here: RadioShack Pulls the Plug. On October 2, 2015, the Court confirmed the Plan of Liquidation in the RadioShack
preference
Green Field Energy Services – Preference Actions Filed
By Fox Rothschild LLP on
Posted in Preference Litigation
On October 27, 2013, Green Field Energy Service, Inc. and a number of subsidiaries (the “Debtors”) filed for bankruptcy under Chapter 11 of the Bankruptcy Code in the United States Bankruptcy Court for the District of Delaware. We initially published a blog post about the filing here: Green Field Energy Files for Bankruptcy Protection in…
THQ Inc. Preference Actions Filed
By Fox Rothschild LLP on
Posted in Preference Litigation
From December 17-19, 2014, THQ Inc. filed approximately 78 preference complaints seeking to avoid and recover alleged preferential transfers pursuant to Sections 547 and 550 of the Bankruptcy Code, and to disallow claims of the defendants pursuant to Section 502(d).
By way of background, THQ Inc. (the “Debtor”) filed a petition for bankruptcy in the…
Satcon Technology Corp. Preference Actions Update
By Fox Rothschild LLP on
Posted in Preference Litigation
On October 17, 2014, Charles M. Forman, the Chapter 7 Trustee of the Satcon Technology Corp. bankruptcy estate, filed a number of complaints seeking the avoidance and recovery of alleged preferential transfers pursuant to Sections 547 and 550 of the Bankruptcy Code. To review a prior post concerning the filing of these complaints, click here…
Quantum Foods Preference Actions Update
By Fox Rothschild LLP on
Posted in Preference Litigation
In a prior post, we discussed the commencement of approximately 72 preference actions filed in the Quantum Foods bankruptcy proceeding by the Creditors Committee. In the preference actions at issue, the Creditors Committee seeks to avoid and recover purported preferential transfers under Sections 547 and 550 of the Bankruptcy Code, and purported fraudulent transfers…
MCG Preference Actions Update
By Fox Rothschild LLP on
Posted in Preference Litigation
In a prior post, we discussed that a number of preference actions were filed in the MCG Limited Partnership, et al. bankruptcy proceeding by the Chapter 7 Trustee. Since this post, an additional 93 preference complaints were filed, bringing the total to 131.
Click here for an example of a preference complaint filed in…
Minimizing Preference Exposure (Part II) – Contemporaneous Exchanges
By Fox Rothschild LLP on
Posted in Preference Litigation
In this prior post, a discussion was provided in connection with requiring a company to prepay for its goods or services in order to limit potential preferential exposure. If a company heading into bankruptcy cannot prepay for its goods or services, however, another measure which can be taken by vendors to minimize their preferential…
Minimizing Preference Exposure – Require Prepayment for Goods or Services
By Fox Rothschild LLP on
Posted in Preference Litigation
One question that clients often ask is what measures can be taken to reduce preferential exposure when dealing with a company that is sliding into financial insolvency. Under Section 547 of the Bankruptcy Code, a debtor or trustee can seek to avoid and recover payments made to a vendor that provided goods or services to…
Non-Debtors Are Not The Correct Party To Bring Preference Actions
By Fox Rothschild LLP on
Posted in Opinions
Summary
In a 14 page decision signed September 30, 2013, Judge Walsh of the Delaware Bankruptcy Court provided a primer on one of the limitations of standing provided in the bankruptcy code in his opinion granting a motion to dismiss. Judge Walsh’s opinion is available here (the “Opinion”).
Background
On May 21, 2004, the…
Decision in AE Liquidation, Inc. Allows Preference Complaint to be Amended After the Expiration of the Statute of Limitations
By Fox Rothschild LLP on
Posted in Opinions
Summary
In an 8 page decision signed January 6, 2012, Judge Walrath of the Delaware Bankruptcy Court allowed a plaintiff to amend a preference complaint to include additional transfers, even though the statute of limitations had expired. Judge Walrath’s opinion is available here (the “Opinion”). Numerous posts on this blog discuss other opinions issued…