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Chapter 11 Debtors With Confirmed Plans Are Now Eligible For PPP Loans

The Small Business Administration (SBA) published new guidance declaring Chapter 11 debtors with confirmed plans as eligible for Paycheck Protection Program (PPP) loans. The new guidance creates an exception to the SBA’s...more

Confusion Mounts Regarding Bankruptcy Debtor Access To PPP-UPDATED June, 2020

Several recent bankruptcy court decisions reveal that a temporary restraining order prohibiting the Small Business Administration (SBA) from enforcing its rule that a debtor in bankruptcy cannot qualify for a Paycheck...more

A PPP Lender’s Dilemma: What To Do If A PPP Loan Is In Default?

The CARES Act established the Paycheck Protection Program (“PPP”) under Section 7(a) of the Small Business Act (Section 7(a)) to provide forgivable loans that are fully guaranteed by the Small Business Administration (“SBA”)...more

Bankruptcy Debtors Push Back On Restricted Access To SBA’s Paycheck Protection Program With Mixed Results

Recent bankruptcy court decisions in In re Hidalgo and In re Cosi Inc. indicate that courts are split on whether the U.S. Small Business Administration (SBA) and participating lenders can deny Paycheck Protection Program...more

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