In these unsettled times, Fox Rothschild has prepared a comprehensive Bankruptcy FAQ to help businesses understand their potential bankruptcy options, the notable features of the bankruptcy process, how to prepare for a bankruptcy filing, and alternatives to bankruptcy.  Items addressed in the FAQ include:

  • The differences between filing for bankruptcy under Chapter 11 versus Chapter

Under Section 503(b)(9) of the Bankruptcy Code, creditors may receive administrative-expense priority for the value of goods “received” by the debtor within 20 days before the debtor’s bankruptcy filing in which the goods have been sold to the debtor in the ordinary course of business. 11 U.S.C. § 503(b)(9).

The question becomes: when are goods

When will your company’s Section 503(b)(9) claim be paid?  Under normal circumstances, Section 503(b)(9) claims are paid when the debtor makes a final distribution to creditors.  However, a Section 503(b)(9) creditor can file a motion to demand immediate payment of its claim.  This article will address the standard employed by the Bankruptcy Court in determining