Corporate Governance 2019: Philosophy Meets Reality

By: Laura Day DelCotto I’m reading more and more about ESG – it’s sweeping into vogue in a big way.  I predict that we will continue to see more about it in 2019, including moving beyond the financial investment world.   But how, exactly, do we make decisions that integrate the

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Preparing Your Company for Chapter 11 Bankruptcy

By: Jamie L. Harris Putting your company in Chapter 11 bankruptcy is far more complicated that just signing some paperwork.  First, you need to evaluate if all your financials are accurate and up to date. You will want to get all tax returns timely filed and gather all your insurance

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Interest Rates and Tax Claims

By: Laura Day DelCotto I learn something new every day, so it keeps this life fun. Somehow, I don’t remember ever specifically focusing on 11 USC §511 in all these years of confirming plans.   With interest rates moving so often this year (and in the wrong direction from borrowers’ perspective),

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Chapter 11 May Help Nassar Victims

By: Laura Day DelCotto   The WSJ headline about the recent USA Gymnastics’ filing is spot on. At first blush, when anyone with multiple lawsuits files bankruptcy, there seems to be a rush to judgment that the debtor is seeking to evade and avoid litigants.   The filing is viewed with

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Chapter 11 Bankruptcy: An Option for Individuals

By: Laura Day DelCotto The vast majority of Chapter 11 bankruptcy filings are by businesses:  LLCs, closely held corporations, and large public company filings.  We read about them almost daily in the news.  This is how we have come to mostly think about Chapter 11 in the US: a large

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Legal Claims as Assets in Chapter 11

By: Dean Langdon It’s not unusual for a company in financial distress to be involved in some sort of litigation, with claims being asserted back and forth between one or more parties. One of the benefits of filing bankruptcy is the automatic stay, which stops prosecution of most legal actions

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Healthcare Bankruptcies More Than Triple in 2017

By: Laura Day DelCotto Becker’s Hospital Review quoted the November 28, 2017 Bloomberg article indicating that hospitals, specialty medical providers, and other healthcare-related companies are experiencing increased financial distress for a number of reasons.   Ongoing and constant regulatory changes are challenging to deal with on an operating level, especially for

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How Long Does a Chapter 11 Take?

“How long does a chapter 11 take?” In Kentucky, a typical chapter 11 bankruptcy lasts 6 months – 1 year.  However, chapter 11’s vary with each situation, factors include: number of creditors research of potential litigation claims cash flow/operating issues, and if primary lenders agree on a plan or sale.  

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Bankruptcy Code Dollar Amounts Will Increase On April 1, 2016

By: Jamie L. Harris, Esq. The  Judicial Conference of the United States issued a Notice in the Federal Register on February 22, 2016 that certain dollar amounts have increased in the sections in title 11 and title 28, United States Code. The new (adjusted) dollar amounts reflect a 3.016 percent

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Counsel, Chapter 11, Bankruptcy Code, Disinterested

Counsel in Chapter 11 Proceedings

Retention of Counsel in Chapter 11 Proceedings By: Jamie L. Harris, Esq. 11 U.S.C. § 327(a) permits a debtor to employ an attorney that (1) does not “hold or represent and interest adverse to the estate”; and (2) is disinterested. 11 U.S.C. § 327(a). The Bankruptcy Code defines “disinterested person”

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