The bankruptcy claims handbook

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Where to find it

Law Library — 2nd Floor Collection (2nd floor)

Call Number
KF1532 .B36 2013
Status
Available

Summary

This guide is a unique resource for lawyers seeking to develop greater familiarity with bankruptcy law. It will provide entry into bankruptcy analysis and processes for practitioner's embarking on identifying, asserting, objecting to and/or defending claims in a bankruptcy case and evaluating the manner that claims may be treated. Providing a starting point for legal analysis, highlighting key issues, and answering key bankruptcy questions, this guide will provide you with guidance on: A summary of debtor's duties, including the preparation of the debtor's schedules, a chart that includes the debtor's assets and liabilities The life cycle of the claim, from when the claim arises to the contents, effects, timing and location of filing, concluding with rules regarding amendments to a claim Secured claims and transitions into unsecured claims The quasi-claim known as "reclamation" claim or the right of a vendor to demand the return of certain delivered goods from the debtor Administrative expenses, including the process for claiming these expenses Objection to claims"

Contents

  • Preface p. ix
  • Chapter 1 Introduction p. 1
  • Chapter 2 Debtor's Duties with Respect to the Claims Process p. 5
  • A Overview p. 5
  • B Debtor's Duty to File Schedules p. 6
  • C Types of Schedules p. 6
  • D Contents and Effect of a Listing p. 7
  • 1 Required Content in Schedules Concerning Claims p. 7
  • 2 Effect of Failure to List p. 10
  • Chapter 3 Life Cycle of Claims p. 15
  • A Overview p. 15
  • B Entities That Must File p. 15
  • C Presumptive Allowance of Claims p. 16
  • D Jurisdiction and Venue p. 17
  • 1 Conceded Jurisdiction p. 17
  • 2 Location of Filing p. 17
  • E When a Claim Arises p. 17
  • 1 Conduct Test p. 18
  • 2 Relationship Test p. 18
  • 3 Accrual Test p. 18
  • 4 Exposure Test p. 19
  • F Limitations on Prepetition Claims p. 19
  • G Effect of Filing p. 20
  • H General Bar Date for Claims p. 21
  • I Amendment of Claims p. 21
  • 1 Permissive Amendment Prior to the Bar Date p. 21
  • 2 Post-Bar-Date Amendments p. 22
  • Chapter 4 Secured Claims p. 25
  • A Overview p. 25
  • B Secured Claim Defined p. 25
  • C Collateral-Based Secured Claims p. 26
  • D Valuing a Secured Claim p. 27
  • E Treatment of Secured Claims in Chapter 7 p. 27
  • F Treatment of Secured Claims in Chapter 13 p. 28
  • G Treatment of Secured Claims in Chapter 11 p. 29
  • H Creditor's Right to Setoff p. 30
  • I Debtor's Right to Setoff p. 31
  • Chapter 5 Unsecured Claims p. 33
  • A Overview p. 33
  • B Priority Categories Under Section 507(a) p. 34
  • 1 First Priority-507(a)(1)-Domestic Support Objections p. 34
  • 2 Second Priority-507(a)(2)-Administrative Expenses p. 35
  • 3 Third Priority-507(a)(3)-Gap Period Claims p. 35
  • 4 Fourth Priority-507(a)(4)-Wages, Salaries, and Commissions p. 36
  • 5 Fifth Priority-507(a)(5)-Contributions to Employee Benefit Plans p. 38
  • 6 Sixth Priority-507(a)(6)-Grain Producers and U.S. Fishermen p. 39
  • 7 Seventh Priority-507(a)(7)-Consumer Deposits p. 40
  • 8 Eighth Priority-507(a)(8)-Taxes and Customs Duties p. 40
  • 9 Ninth Priority-507(a)(9)-Commitments to Federal Depository Regulatory Agencies p. 41
  • 10 Tenth Priority-507(a)(10)-Claims Arising from DUI/DWI p. 41
  • C The 507(b) "Super Priority" and Related Issues p. 42
  • D 507(b) Equal Priority for Claims Based on Erroneous Tax Refunds p. 42
  • E 507(d): Subrogation p. 43
  • Chapter 6 Administrative Expenses p. 45
  • A Introduction p. 45
  • B Types of Administrative Expenses p. 46
  • 1 "Actual, Necessary" Expenses p. 47
  • 2 Wages and Salaries p. 48
  • 3 Taxes p. 48
  • 4 Compensation for Professionals p. 48
  • 5 Creditor Reimbursement p. 49
  • 6 Substantial Contribution p. 50
  • 7 Postpetition Lease Payments p. 51
  • 8 Closing a Healthcare Business p. 51
  • 9 503(b)(9) Claims p. 51
  • C Restrictions on Severance and Bonus Payments p. 52
  • D Procedure for Allowance and Payment of Administrative Expenses p. 55
  • 1 Filing of Request p. 55
  • 2 Bar Dates p. 56
  • 3 Notice and Hearing p. 56
  • 4 Special Procedures for Resolving Administrative Expenses p. 57
  • Chapter 7 Administrative Expenses Under Section 503(b)(9) p. 59
  • A Overview p. 59
  • B Allowance and Payment p. 59
  • 1 How Are Section 503(b)(9) Claims Asserted? p. 60
  • 2 When Are Section 503(b)(9) Claims Paid? p. 61
  • C What Is a "Good" for Purposes of Section 503(b)(9)? p. 62
  • 1 Most Courts Adopt the U.C.C. Definition of "Goods" p. 63
  • 2 Electricity as a "Good" p. 64
  • 3 Mixed Goods and Services: The Predominant Purpose Test p. 65
  • D When Are Goods Received? p. 68
  • 1 Shipment to a Customer p. 68
  • 2 Consignment Relationships p. 69
  • E How Is Value Defined? p. 70
  • F Are Administrative Expenses Claims?-Application of Section 502(d) to Administrative Expenses Under Section 503(b)(9) p. 70
  • G Can the Holder of an Administrative Expense Under Section 503(b)(9) Use Goods Shipped during the 20 Days prior to the Petition Date as New Value? p. 74
  • Chapter 8 Rejection Damages Claims p. 83
  • A Overview p. 83
  • B Bar Date for Rejection Damages Claims p. 85
  • C Rejection Damages Cap p. 85
  • Chapter 9 Class Proofs of Claim p. 87
  • A Overview p. 87
  • B Procedure p. 87
  • Chapter 10 Reclamation p. 89
  • A Overview p. 89
  • B Requirements for Reclamation p. 90
  • C Reclamation Is Subject to Prior Perfected Secured Creditor p. 91
  • D Section 503(b)(9) Rights Still Exist p. 93
  • Chapter 11 Equitable Subordination and Debt Recharacterization p. 95
  • A Equitable Subordination p. 95
  • B Debt Recharacterization p. 97
  • Chapter 12 Critical Vendor Claims p. 101
  • A Overview p. 101
  • B Statutory Authorization for Critical Vendor Payments p. 101
  • C Kmart and the Rejection of the Critical Vendor Doctrine p. 105
  • D Critical Vendors Post-Kmart p. 106
  • Chapter 13 D&O Policies and Advancement of Legal Fees p. 109
  • A Overview p. 109
  • B Relevant Characteristics of D&O Policies p. 111
  • 1 Types of D&O Insurance Coverage p. 111
  • 2 Coverage Limits p. 113
  • 3 "Priority of Payment" Provisions p. 113
  • 4 Waiver by Company of Benefit of Automatic Stay p. 114
  • 5 "Claims Made" Policies p. 114
  • 6 "Insured vs. Insured" Exclusion p. 114
  • C Frequent Issues Concerning the Treatment of D&O Insurance in Bankruptcy p. 115
  • 1 D&O Policies as Property of the Company's Bankruptcy Estate p. 116
  • 2 D&O Proceeds as Property of the Company's Bankruptcy Estate p. 116
  • 3 Relief from the Automatic Stay; Section 105(a) Injunctions p. 120
  • 4 Suits by Estate Representatives and the "Insured vs. Insured" Exclusion p. 121
  • 5 "Buy-Back" Settlements of D&O Insurance Policies p. 122
  • Chapter 14 Objections to Claims p. 125
  • A Overview p. 125
  • B Burden of Proof p. 126
  • C General Grounds of Disallowance p. 127
  • D Estimation p. 128
  • E Temporary Allowance of Claims Subject to Objection p. 129
  • F Temporary Disallowance of Claims p. 130
  • G Objecting to Multiple Claims p. 130
  • H Omnibus Objections p. 131
  • 1 Nonsubstantive or Procedural Objections p. 131
  • 2 Substantive Objections p. 132
  • 3 Procedural Requirements p. 132
  • I Reconsideration of Objections p. 133
  • About the Editors p. 135
  • Contributors p. 137

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