Unsecured Trade Creditors Committee

ABI Committee News

When Timing is Everything: Treatment of Consignment Agreements in Bankruptcy

In certain industries, it is not uncommon for parties to a commercial transaction to alter the normal debtor-creditor relationship by entering into consignment arrangements. Under a typical consignment arrangement, the consignor of the goods (typically a manufacturer or distributor) delivers such goods to the consignee (typically a retailer) to be sold. The consignee generally does not pay for the consignment goods until it sells such goods to a customer. The benefit of a consignment arrangement to a consignor is that title to the consigned goods remains with the consignor until the consignee has found a purchaser for such goods. Thus, the consignment goods do not become an asset of the consignee until the moment that they are sold to a customer. For this reason, consignment agreements can provide a degree of protection to a trade creditor who wants to supply goods to a financially troubled retailer. If the consignor follows the proper steps, it should be able to take its goods back from the retailer upon its insolvency or the commencement of a bankruptcy case, although it may need to file a motion for relief from the automatic stay.

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Now Online: Materials from the New York City Bankruptcy Conference

The panel for "'Who's on First': The New Priority Claims - 1114 Rulings, Environmental Cases, § 503 Cases, Substantial Contributions, Federal Penalties and Forfeitures, Claims that Survive Bankruptcy" offered advice on techniques for mitigating and reducing liability, reviewed the post-BAPCPA revisions to § 503, explained the Critical Vendor Doctrine, and related several major cases to these and other timely topics. Lisa G. Beckerman of Akin Gump Strauss Hauer & Feld LLP moderated the session. Speakers included the Hon. Robert D. Drain of the U.S. Bankruptcy Court for the Southern District of New York in White Plains, J. Gregg Pritchard of KPMG LLP in Philadelphia, John W. Weiss of Alston & Bird LLP in New York, James M. Lukenda of Huron Consulting Group in New York and Eric Todd Moser K&L Gates LLP in New York. Click here to view "'Who's on First': The New Priority Claims - 1114 Rulings, Environmental Cases, § 503 Cases, Substantial Contributions, Federal Penalties and Forfeitures, Claims that Survive Bankruptcy" materials.

Materials from the session titled "Claims Trading: Effect of CDSs in Bankruptcy and How It Drives Negotiations and Results" provides readers with examples of early and simple problems that arise during credit default swaps (CDS), examples of how and when to disclose one's economic position, issues surrounding a bondholder and gives readers a variety of case studies. The session was moderated by Thomas Moers Mayer of Kramer Levin Naftalis & Frankel LLP of New York. Panelists included Alan J. Carr of Strategic Value Partners LLC in Greenwich, Conn., the Hon. Allan L. Gropper of the U.S. Bankruptcy Court for the Southern District of New York, Richard F. Hahn of Debevoise & Plimpton LLP in New York, Patrick J. Nash, Jr. of Kirkland & Ellis LLP in Chicago and Bruce R. Zirinsky of Greenberg Traurig, LLP in New York. Click here to view "Claims Trading: Effect of CDSs in Bankruptcy and How It Drives Negotiations and Results" materials.


 

Conference Materials from ABI's First Annual Memphis Consumer Bankruptcy Conference Available Online

was a session of interest titled "Today's Chapter 7." Panelists for the session discussed related pre- and post-BAPCPA cases, judicial estoppel, trustee immunity and liability, property of the estate, initial transferee issues and many other relevant topics. The session was moderated by the Hon. Davis S. Kennedy of the U.S. Bankruptcy Court for the Western District of Tenn. in Memphis. Panelists included Hollis Williams Craft of Darrell Castle and Associates in Memphis and Samuel K. Crocker, Attorney at Law, in Nashville. Click here to view "Today's Chapter 7" materials.

Click here to view all materials related to the Unsecured Trade Creditors Committee.


 

Join Your Colleagues Online for An ABI Exclusive Member Benefit - Interactive Bankruptcy Code and Rules

The ABI has created the first personalized electronic Bankruptcy Code & Rules website, complete with bookmarks and annotations for law practitioners. True to the tagline, "All The Good Parts Marked," members can search not only for a specific provision of the Bankruptcy Code and related Rules, but this unique new website also provides links to relevant case law summaries thanks to our site partner, LexisNexis. The site is also personalized, allowing users to bookmark sections and add personal notes and comments for any Code section or Rule. ABI username and password required. Click here to access the Interactive Bankruptcy Code and Rules.


 

ABI Celebrates Its 200th Circuit Court Update on Volo

Volo now has more than 200 circuit court case summaries, which represent the most recent appellate court decisions. Opinions are summarized and posted within 24 hours of publication and the database is searchable by circuit and keyword. Summaries also include a link to the full text of the opinion for your convenience. ABI members can also subscribe to an RSS feed or email alert to receive summaries as soon as the are posted. Check out the latest summaries from all of the circuits and be the first to know with Volo!

Are you intersted in becoming a Volo Editor? Click here to sign up.

 

Get the Most Out of Your Membership Using Discover ABI

Discover ABI offers a clean and easy to navigate site for members to learn how to use their membership. The site serves as a portal for our newest and most popular features, like the Interactive Code & Rules, the Blog Exchange, Volo and the ABI Journal. Here you can read descriptions for many of our features and instantly launch to your desired page. Click here to join your colleagues and discover ABI.


 



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