Statutory power can be frustrating for the defendant.
The vast majority of preference law is unique to the Bankruptcy Code. Though in certain instances an aggrieved creditor can bring a claim under state law when that creditor’s debtor prioritizes payments to third parties, the ability to do so is very difficult and subject to relatively strict statutory and judicial parameters. On the other hand, recovering preferential payments in bankruptcy is far easier than under general state law principles because the Bankruptcy Code provides specific statutory authority to recover such payments. Preferential payments are recoverable in bankruptcy court because of the legislative desire that creditors in the same class are to be treated equally. This white paper reviews how, in principle, this legislative desire is commendable and should prevent a debtor from gaming the system.
Agenda
Faculty
Randy Nussbaum
Sacks Tierney P.A.
- More than 40 years of experience assisting individuals and businesses with complex bankruptcy protection, transaction, and litigation matters
- Certified Bankruptcy Specialist (Arizona Board of Legal Specialization) and Certified Business Bankruptcy Specialist (American Board of Certification)
- Respected lecturer and author on topics regarding bankruptcy, construction, and real estate
- Named to the Super Lawyers’ Top 50 list of Arizona attorneys, selected as one of The Best Lawyers in America, and named as Lawyer of the Year (Scottsdale) in Bankruptcy and Creditor Debtor Rights and in Bankruptcy Litigation
- Can be contacted at [email protected] or 480-212-1682
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