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Starting today, you may notice a new look for some of the forms used in bankruptcy cases.  Some of the key forms now make a distinction between non-individual bankruptcy cases and business bankruptcy cases.  For your convenience, we are attaching some of the key forms used in business bankruptcy cases.   The following are among the changes to the less compact form of petition for business bankruptcies:
  • The form now makes clear that assumed names and doing business as names used within the last eight years must be included (and, of course, deletes the requirement for maiden and married names).
  • The form also (finally) recognizes that just about every company now has a website and asks for the debtor’s URL.
  • The question of whether the debtor owns or has possession of any “property that poses or is alleged to pose a threat of imminent and identifiable harm to public health or safety” now asks for the identification of the hazard and also asks about whether the debtors owns or possesses property that “needs to be physically secured or protected from the weather” or includes perishable goods or assets (ranging from livestock to stock).
  • Estimated assets and liabilities used to top out at “More than $1 billion.”  Now, the top category is “More than $50 billion.”  Guess the bankruptcy statisticians cared about the $49 billion difference.
Original Form Number Original Form Name
7 hours 17 min ago
 The Advisory Committee on Bankruptcy Rules (and forms) has been quite active and successful over the past decade in improving the practice of law in the Bankruptcy Courts.  Some of their major innovations such as the overhaul of the process for appealing a decision of the bankruptcy court have engendered little comment and have been deemed important contributions to justice.  Others, such as the responses to changes in the consumer credit and consumer mortgage industries have engendered very active comment from both the creditor and debtor communities and the Committee has endeavored to evaluate carefully all such comments to make certain the proposed rules and forms are not only well written and thought through but also fair to both sides.  In the business bankruptcy  realm the proposed rules governing Informal Committees (2019) engendered significant comment from the claims buying industry and the Committee made numerous changes in response to those comments.

Read More from: Credit Slips

9 hours 1 min ago
When is a foreign entity eligible to file a chapter 15 petition?  This question has been the subject of debate over the last few years, and Judge Martin Glenn’s recent opinion in In re Berau Capital Resources Pte Ltd. will add to this debate.  Although the debtor in the case was foreign and did not have a place of business in the United States, Judge Glenn concluded that the debtor had satisfied the eligibility provisions under section 109(a) of the Bankruptcy Code because the New York choice of law and forum selection clause in the underlying bond indenture rendered the bonds “property in the United States.”  No. 15-11804 (MG), 2015 WL 6507871 (Bankr. S.D.N.Y. Oct. 28, 2015). Background Chapter 15 of the United States Bankruptcy Code enables foreign debtors to obtain access to United States bankruptcy courts.  A chapter 15 proceeding is a U.S. proceeding ancillary to a main proceeding pending in a foreign debtor’s home country.  Chapter 15 facilitates cooperation in cross-border insolvency cases.
9 hours 36 min ago
A decision last month by the U.S. Bankruptcy Court for the District of New Hampshire serves as a good reminder that, although helpful, Bankruptcy Code Section 365(n)’s protection for intellectual property licensees definitely has its limits. That’s especially true for a commercial agreement whose central purpose is something other than as a technology license. Since we don’t get many Section 365(n) cases, let’s examine this one more closely.
12 hours 30 min ago
How can a recipient of a transfer of money do nothing in return, and by such inaction provide reasonably equivalent value in exchange for the transfer? The Tenth Circuit in its decision in Weinman v. Walker (In re Adam Aircraft Industries, Inc.), 2015 WL 5973397 (10th Cir. 2015) held that a former employee’s compliance with a severance agreement containing a non-compete provision, provided reasonably equivalent value in exchange for the payments made to him under the agreement.

Read More from: Creditors' Rights

13 hours 5 min ago
Several court websites that are portals to bankruptcy court filings were down on Tuesday morning—the first day that bankruptcy lawyers are supposed to file documents using newer forms. Many court websites were offline for several hours starting on Monday night to upload and test the software with the new bankruptcy forms. Websites for court filings in Oklahoma, Mississippi and North Carolina were down. A spokesman for the Office at the Administrative Office of the U.S. Courts didn’t have the number of courts that remained out of service on Tuesday but said that  ​the websites “very soon will be operable in all bankruptcy courts.”​ As of today, bankruptcy lawyers are supposed to use new paperwork with clearer, easier-to-understand instructions, replacing the forms that people and businesses have used to file for bankruptcy protection since the 1980s. Committee members studied older filings for frequently mis- and unanswered questions. When they released drafts of the proposed new forms, they got hundreds of comments—both praise and complaints. Aside from bringing clarity, the paperwork project had another goal: making it easier for courts to collect data and track trends using the standardized selections that bankrupt people and businesses make on the forms. Reach Katy Stech at

Read More from: Bankruptcy Beat

13 hours 23 min ago
Authored by Timothy D. Hedrick and Mark S. MitchellThe Fair Debt Collection Practices Act (the “FDCPA”), codified at 15 U.S.C. §§ 1692–1692p, is a consumer protection statute intended to curtail false, deceptive, or unfair debt collection practices. The FDCPA regulates the conduct of “debt collectors,”[1] and provides consumers with a civil cause of action against those debt collectors who violate it.[2] Among the FDCPA’s prohibitions are that “[a] debt collector may not use any false, deceptive, or misleading representation or means in connection with the collection of any debt” and that “[a] debt collector may not use unfair or unconscionable means to collect or attempt to collect any debt.”[3] Courts have uniformly held that threatening to sue—or actually filing suit—based on a time barred debt violates these prohibitions.[4] If filing a lawsuit based upon a time-barred claim violates the FDCPA, a new question arises—does filing a proof of claim in a bankruptcy case based on a time-barred claim violate the FDCPA? The answer is less clear that one might expect.

Read More from: Florida Banking Law Blog

13 hours 46 min ago
During a consultation, clients may need to discuss how they can deal with a cosigned debt. It might be that they want to untangle themselves from a cosigned debt or it might be that they need to protect someone that has co-signed a debt obligation for them. Or, someone may say, “Well, my sister signed first and I signed second.” It is generally at that point I try and explain that as far as the creditors are concerned, it doesn’t matter who signed the obligation first or second, both who signed are equally responsible. If the loan was for the benefit of the sister and she was making payments but later defaulted, the creditor will begin collecting from the cosigner and vice-versa. Either way, if one defaults, the other will be considered by the creditor as “Plan B” and be called upon to step up to the line and finish the race.

Read More from: Bonds & Botes, P.C.

14 hours 5 min ago
The Chemical Brothers perform on day 1 of the Electric Zoo EDM festival at Randall
Robert Altman/Invision/Associated Press
Concert promoter SFX Entertainment Inc. is looking at ways to restructure its debt with the help of its financial adviser, Moelis & Co. Read the Daily Bankruptcy Review story via the Wall Street Journal. SFX, which puts on concerts such as the Electric Zoo festival in New York, noted in recent regulatory filings that it may not have sufficient cash to fund its debt obligations during the next year. (Daily Bankruptcy Review is a daily newsletter with comprehensive coverage and analysis of emerging and in-progress insolvencies and turnarounds. For a two-week trial, visit our homepage, scroll to the bottom and click “try for free.”)

Read More from: Bankruptcy Beat

14 hours 10 min ago
The desire to turn over a new financial leaf usually blossoms when the bills from Christmas arrive in January. What was a seed of an idea about getting out of debt, sprouts and grows after the holidays. After the New Year, I see a surge of people who have explored bankruptcy with me months before.  They show up in the New Year, actually reappear to file a bankruptcy case after the holidays. And I end up saying, not now. Why, when it was obvious to me from our initial meeting that bankruptcy was necessary and appropriate? Because their holiday buying on credit may be tagged as fraudulent as to the card issuers. Fraud not dischargeable in bankruptcy It’s a principle of bankruptcy law that you cannot incur debt, knowing that you don’t intend to repay it.  That’s fraud, or it looks like fraud. Debts incurred by fraud can’t be discharged in bankruptcy.  The creditor  has to file a timely complaint and prove its case, that’s true. Sometimes, the creditor doesn’t bother.  But, many of them do.  Lose that trial and the debt survives the bankruptcy. It doesn’t look good if you saw a bankruptcy lawyer in September, say, treated your family to a lovely Christmas in December by using your credit cards, then filed bankruptcy in February. Those facts make it look like you planned all along to shed the December spending in bankruptcy in the New Year.
15 hours 20 min ago
Have you been concerned because of the necessity to finish tough collegiate writing pieces? provides you customized ideas that will help everyone grab better scores. Essay Writing Services is seen as a company offering top rated tailor made article writing help for a myriad of your actual assignment worries. The brand has experience in working alongside individuals of countless educational institutions all over the globe. The writing assignments are usually of top quality, genuine, delivered at once, and at acceptable pricing. article source Our Essay Writing Service The core of expert freelancers at have proven to be Masters and University degree possessors that deliver your university support and also are completely ready to master mostly types of original and excellent writing. Here are the assessments which will advise most people to acquire essay or dissertation online with New services provided mesmerizes numerous customers coming from many educative training courses by delivering the remarkable selection of article assistance. The information site has made the products observable in various categorizations. The certified essay or dissertation freelance writers present you any type of standard or customized piece of writing. The clients will be able to buy piece of writing on the web plus many other options

Read More from: Young, Klein & Associates

20 hours 39 min ago
Posted by Kathy Bazoian Phelps    Below is a summary of the activity reported for November 2015. The reported stories reflect: 3 guilty pleas or convictions in pending cases; over 77 years of newly imposed sentences for people involved in Ponzi schemes; at least 9 new Ponzi schemes worldwide; and an average age of approximately 54 for the alleged Ponzi schemers. Please feel free to post comments about these or other Ponzi schemes that I may have missed. And please remember that I am just relaying what’s in the news, not writing or verifying it.    Troy Barnes, 53, was indicted in connection with an alleged Ponzi scheme operated through Work with Troy Barnes Inc., which later changed its name to The Achieve CommunityKristine Louis Johnson, 60, pleaded guilty to charges in June 2015. The scheme defrauded over 10,000 investors who lost at least $7 million, having been promised returns of up to 700%. At the time the scheme shut down for the self-stated reason that it could not handle “the volume of money we’re paying our members,” the company owed promised returns of about $51 million.     John Paul Baron, 55, was sentenced to 6 years in prison in connection with a $3 million Ponzi scheme. Baron had promised annual tax free returns of 15% to 28%.

Read More from: The Ponzi Blog

1 day 7 hours ago
Are you considering debt relief through a consumer credit counseling  or debt consolidation service ?  You may be surprised to learn that they can do more harm than good to your credit.  Many times, bankruptcy is a better option, and we will be happy to sit down with you and thoroughly discuss your personal financial situation in order to help you decide what is the best solution for your financial problems.  In analyzing your particular situation, we always consider if there is an alternative to filing bankruptcy.  The decision to file bankruptcy is a difficult choice for many people to make.  A bankruptcy will affect, in some fashion, your future credit.  Bankruptcy, though,  does not totally destroy your ability to get credit in the future.  The decision to file bankruptcy must be carefully made in consultation with an experienced bankruptcy attorney. photo credit: hang_in_there via photopin cc
1 day 8 hours ago
Richard Cordray, the director of the Consumer Financial Protection Bureau, takes issue with American Banker 's recent story about errors in the agency's complaint database.

Read More from: BankThink

1 day 8 hours ago
Frequently, when I am meeting with a prospective client, this question will be asked. Often, those prospective clients are worried about keeping a credit card for emergency use. Or, they are under the mistaken belief that if their home or car is included in their case, then they will lose their car or home. These concerns are completely understandable on their part. However, these really shouldn’t be of concern in a bankruptcy case. Keeping a credit card is not going to be possible because the credit card issuer will suspend your credit privileges when you file your bankruptcy case. Regardless of that, it would not be a good idea anyway. Adding more debt while you are in a bankruptcy case is contrary to the main purpose of getting yourself to debt freedom, which is why you filed your case in the first place. Including your home mortgage and/or car debt is necessary to ensure that these debts are properly handled or you will face negative (and usually very serious) consequences during or after your bankruptcy case is over. List All Debts

Read More from: Bonds & Botes, P.C.

1 day 13 hours ago
An essential element to any cramdown plan is the presence of at least one impaired accepting class.  Even when a plan proponent purports to satisfy this requirement, objecting parties will often challenge the plan’s classification scheme or whether a particular class is truly impaired.  A recent decision from the Southern District of New York, In re Ashley River Consulting, LLC, serves as a reminder that when a secured creditor is retaining its collateral under a plan, the secured creditor’s agreement to accept less than it is entitled to – by making a contribution to other creditors – can render the secured creditor impaired and provide the impaired accepting class necessary for cramdown if that secured creditor votes to accept the plan.  Background
1 day 13 hours ago
Get in tax trouble and the penalties often grow to equal the tax. What starts as a manageable problem can soon tower over you. Breathe deep;  there is a solution. Chapter 13 bankruptcy can cut tax penalties down to size. All tax penalties discharged in 13 Old or new, large or small, Chapter 13 discharges all unsecured tax penalties. In contrast, Chapter 7 discharges some tax penalties.  Discharged are penalties for taxes that are themselves dischargeable. Also dischargeable in Chapter 7 are penalties where the transaction or event that triggered the tax occurred more than three years before filing, whether or not the tax itself is dischargeable.  523(a)(7)(B). That’s good, but if you are eligible, Chapter 13 is better.  All penalties are discharged. Who can file Chapter 13
1 day 13 hours ago
With the Consumer Financial Protection Bureau's disclosure rule potentially slowing down the loan process, institutions need to focus on communication strategies to keep young borrowers at the closing table.

Read More from: BankThink

1 day 14 hours ago
Receiving Wide Coverage ... Brazilian Bank CEO Jailed: The chief executive of Brazil's largest independent investment bank has resigned after being arrested last week. Andre Esteves left his post at the helm of BTG Pactual, the Wall Street Journal reports. Esteves is the bank's controlling shareholder and also served as chairman. The Brazilian banker has found himself caught up in investigations regarding corruption at the state-controlled oil company Petroleo Brasileiro (Petrobras). His resignation follows a decision...

Read More from: BankThink

1 day 14 hours ago
Most loan contracts include provisions allowing the collection of attorneys’ fees in the event the borrower defaults.  These attorney fee provisions are routinely enforced in collection suits brought in state courts. However the federal bankruptcy courts operate independent of the state court debt collection system.  Bankruptcy cases often generate a variety of controversies that will not occur in a state court collection suit.  Thus, the issue frequently has arisen whether a general unsecured creditor may be allowed a state law-based contract claim against the bankruptcy estate for the attorneys’ fees the creditor incurs during a bankruptcy case. In the bankruptcy proceeding of the Tribune Media Company, an indenture trustee filed a proof of claim for more than $30 million of attorneys’ fees it had incurred in connection with that bankruptcy.  The trust indenture included customary text permitting the indenture trustee to recover costs and expenses of collection.   On November 19, 2015, the highly-influential U. S. Bankruptcy Court for the District of Delaware issued an opinion, disallowing the indenture trustee’s claim for attorneys’ fees.

Read More from: eSQUIRE Global Crossings

1 day 15 hours ago