Small Business Reorganization Act of 2019

The new legislation could make filing Chapter 11 Bankruptcy appealing to small businesses By: Jamie L. Harris Filing for chapter 11 bankruptcy relief should be easier for small businesses by February 2020 when the Small Business Reorganization Act of 2019 becomes effective. The legislation which President Trump signed back in

Read More

My Business is in Financial Trouble: Now What?

By: Laura Day DelCotto I recently attended a national panel presentation involving a workout consultant, a banker and an attorney.  Yes, it sounds like the start of a joke, but this group discussion was spot-on as to what “restructuring professionals” see on a day to day basis. Some take-away thoughts:

Read More

Bankruptcy and Single Member LLC’s

By: Dean A. Langdon Many small business owners form limited liability companies (LLC’s) for liability and tax reasons. And Kentucky courts have made it clear that an LLC with only one member is a separate legal entity. Therefore, debts of the LLC are not debts of the owner. Pannell v.

Read More

How to Get an Admin Claim

The Gold Standard for Chapter 11 Bankruptcy By: Laura Day DelCotto The Fifth Circuit recently issued an opinion that provides some guidance for seeking an allowed administrative claim (commonly called an “Admin Claim”) during a chapter 11 case.   It should be required reading:  while the facts arise from an oil

Read More

Fred’s Closing its Stores in Chapter 11 Bankruptcy

By: Jamie L. Harris Being from a small town in Western Kentucky, Fred’s retail discount stores have been a staple in small town consumerism.  Fred’s was one of my parents’ favorite bargain shopping stores. I was really disheartened to hear that the company would be liquidating its remaining 300 stores

Read More

Chapter 12: Now Open for Real Agricultural Business

Farmers Have More Freedom to File Bankruptcy Under New Chapter 12 Law By: Laura Day DelCotto Everyone is on the edge of their seats, waiting for President Trump to sign several pending bills impacting bankruptcies in the United States. One of them is the Family Farmer Relief Act of 2019,

Read More

Marriage and Small Business Debt

By: Dean A. Langdon Marriage involves sharing risks and rewards with a spouse. Entrepreneurial couples may establish a business together, or one spouse may establish a business and exclude their spouse due to the risk of economic loss.  After all, between 20-50% of small businesses fail within the first 5

Read More