We represent debtors and creditors in bankruptcies, from debtors seeking relief to the lenders and factors whose collateral, receivables and post-petition financing are at stake. Bankruptcy is where commercial finance relationships are tested, and because we work on both sides of the table, we understand how each party sees the case.

Debtor and Creditor representation: Chapters 7, 11, 12 and 13

We represent debtors and creditors in Chapter 7 liquidations, Chapter 11 reorganizations, Chapter 12 cases for family farmers and family fishermen, and Chapter 13 plans. For debtors, we help clients understand which chapter fits their situation, prepare and file the case, and work through the plan, the creditors and the court. For creditors, we protect collateral and claims, address stay and cash collateral issues, and evaluate and object to plans.

DIP financing for lenders and factors

David has extensive experience representing lenders and factors in post-petition (debtor-in-possession, or DIP) financing in Chapter 11 cases. Factoring and asset-based facilities do not pause when a client files. Post-petition financing requires court approval, careful attention to cash collateral, and negotiated protections for the financier, and the agreement has to work with the factor’s day-to-day operations: verifications, notices of assignment, reserves and collections.

• Structuring and documenting post-petition factoring and lending facilities
• Cash collateral and adequate protection
• Lien priority and the protections a DIP lender negotiates
• Workouts and restructurings before and after filing

Defending preference claims

When a customer or account debtor files bankruptcy, the trustee or debtor may seek to recover payments made in the months before the filing as preferences. We defend lenders, factors and businesses against preference claims, and also advise on related fraudulent conveyance issues.

Bankruptcy in the transportation industry

Carrier and broker bankruptcies raise industry-specific issues: competing claims to freight receivables, notices of assignment to account debtors, and the operational realities of a factored trucking company. We are industry leaders in litigating ownership disputes over brokerage receivables in bankruptcy, where the debtor, the estate, factors, lenders and carriers can all claim the same freight payments. Our transportation finance practice informs our bankruptcy work.

We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.

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