Trade Creditors' Rights under the UCC and the U.S. Bankruptcy Code

by Scott Cargill, Bruce S. Nathan

Overview

This Manual is a comprehensive guide to understanding the remedies available under both the Uniform Commercial Code and the Bankruptcy Code to trade creditors dealing with a financially troubled customer. The Manual discusses a goods seller's UCC rights to demand adequate assurance of performance from a financially shaky customer, stop delivery of its goods from an insolvent or defaulting customer, seek reclamation of its goods from an insolvent customer, and other UCC remedies prior to its customer's bankruptcy filing - including the steps creditors must carefully follow to successfully exercise these remedies. The Manual also explains trade creditors' rights following their customer's bankruptcy, including a goods seller's § 503(b)(9) administrative priority claim for goods sold shortly before the bankruptcy, as well as the issues that have been litigated dealing with proof of and defenses to this claim; the seller's exercise of reclamation rights; stoppage of delivery and other UCC remedies available during the bankruptcy case; and other issues unique to trade creditors. There is also a detailed discussion about the steps trade creditors should take to protect themselves when they are parties to an executory contract with a debtor in bankruptcy. The Manual is filled with practical examples to help explain the legal principles discussed, and is fully annotated with citations to the most recent case law. It also includes form documents that can be used immediately by nearly any credit department. This is a "must have" volume for anyone in the trade credit industry and their advisors.

Product Details

BN ID:	2940013932173
Publisher:	American Bankruptcy Institute
Publication date:	03/02/2012
Sold by:	Barnes & Noble
Format:	eBook
Pages:	140
File size:	351 KB

About the Author

Bruce S. Nathan is a member of Lowenstein Sandler’s Bankruptcy, Financial Reorganization and Creditors’ Rights group in New York. He has 30 years of experience in the bankruptcy and insolvency field, and is a recognized national expert on trade creditor rights and the representation of trade creditors in bankruptcy and other legal matters. He received his B.A. from the University of Rochester, his J.D. from the University of Pennsylvania Law School and his M.B.A. from the Wharton School of Finance and Business.

Scott Cargill is Office Counsel in Lowenstein Sandler’s Bankruptcy, Financial Reorganization and Creditors’ Rights group and has extensive experience in bankruptcy courts throughout the country in matters concerning debtor and creditor rights. He has represented debtors as well as individual creditors and creditors’ committees in complex restructuring and insolvency proceedings, and his recent representations include the unsecured creditors’ committee in the chapter 11 proceeding of Interstate Bakeries Corp.; advising investment funds concerning the chapter 11 and SIPA proceedings of Lehman Brothers; the official committee of asbestos claimants in a case involving a national manufacturer of building products; defending a multi-million dollar preference and fraudulent-transfer claim; and the creditors’ committee in the chapter 11 case of a national snack cake manufacturer involving serious allegations of accounting irregularities and fraud. Mr. Cargill has lectured on numerous insolvency topics for dozens of credit groups and corporations across the country on numerous bankruptcy-related issues, and he is a frequent contributor to periodicals published by the National Association of Credit Management, the Credit Research Foundation and ABI. He is admitted to the Bars of New Jersey, New York and Arizona. Mr. Cargill received his B.S. in 1995 from the State University of New Jersey at Rutgers and his J.D. in 1998 from New York University School of Law.