Troubled Waters: Bankruptcy Issues Every Creditor Needs to Know

Thursday, August 7, 2008 --- 12:00 NOON to 1:30 PM, Central Daylight Time

About This Program.  Bankruptcy law remains a mystery wrapped in an enigma to many lawyers, even experienced corporate counsel. As the economic climate becomes more challenging and bankruptcies (corporate and personal) continue to increase at an alarming rate, more in-house lawyers have been forced to confront bankruptcy-related issues. For many, the mystery of bankruptcy law will need to be solved.

The ALFA International Bankruptcy Law Practice Group has created a bankruptcy primer program for the general practitioner and new bankruptcy lawyer. Four key “bedrock” issues have been selected for discussion and analysis by experienced ALFA bankruptcy lawyers. This ambitious tele-seminar will include the following topics: 

PREFERENCES:

DO I REALLY HAVE TO GIVE THE MONEY BACK?!

(David Lerner, Plunkett Cooney)

One of the thorniest and most frustrating dilemmas facing creditors in a bankruptcy case is receiving the dreaded preference letter or complaint by the trustee or liquidating trust demanding return of funds paid by the debtor before the filing of bankruptcy.  It is bad enough that the debtor fails to pay the creditor, but it is adding salt to the wound to be told to return money paid by the debtor!  There are, however, some “classic” defenses as well as some “exotic” defenses to preference recoveries.  We will explore the basic elements of preferences, some of the “classic” defenses as well as some of the more “exotic” ones to hopefully provide ammunition to defend against the dreaded preference lawsuit.

PRIORITY CLAIMS AND RECLAMATION IN BANKRUPTCY CASES

(Carl Kunz, Morris James LLP)

We will discuss recent developments in assessing and asserting 503(b)(9) priority claims for goods delivered to the debtor within 20 days before the bankruptcy case.  Topics will include how to recognize such claims, debtor's practices with respect to identifying and reconciling such claims, and the ability to get paid quickly on such claims.  In addition, we will discuss recent trends in bankruptcy regarding presenting reclamation claims and the viability of reclamation claims under the Bankruptcy Code.

DISCHARGEABILITY: NOT EVERY CLAIM DIES IN BANKRUPTCY

(Gary Wallace, Haight, Brown & Bonesteel, LLP)

Speaker will discuss the concept of dischargeability, and will explain which claims are not dischargeable in corporate and individual Chapter 7 and 11 cases.  The grounds for general and debt specific objections to discharge will be reviewed.  The procedures and deadlines for assuring the continued viability of certain non-dischargeable claims will also be examined.

ISSUES AND TRENDS IN RETAILER BANKRUPTCIES

(Frank Perch, Hunter Maclean Exley & Dunn, P.C.)

My tenant just filed Chapter 11 -- now what?  Commercial landlords are reeling from a wave of retail chain bankruptcies precipitated by the current economic slowdown.  This topic will explore issues and trends in recent cases and discuss strategies for creditors regarding store closing/GOB sales, payment of administrative rent, lease rejection and assumption,  lease auctions and sales of designation rights, issues regarding the cap on rejection damages, and other claims issues.