The Internal Revenue Code permits a business bad debt deduction when a customer fails to pay for the services rendered or the products supplied by your business. However, the ability to claim an ordinary deduction with...more
3/22/2024
/ Bankruptcy Code ,
Commercial Bankruptcy ,
Creditors ,
Debtor-Creditor ,
Debtors ,
Financial Services Industry ,
Insolvency ,
Internal Revenue Code (IRC) ,
IRS ,
Tax Deductions ,
Tax Liability
Serving as the stalking horse bidder in a Section 363 sale can provide a buyer with financial and legal protections, as well as better position the buyer to ultimately acquire the debtor’s assets. This article addresses the...more
3/7/2024
/ 363 Sales ,
Asset Protection ,
Asset Purchase Agreements ,
Asset Purchaser ,
Bids ,
Commercial Bankruptcy ,
Creditors ,
Debtors ,
Distressed Assets ,
Distressed Debt ,
Stalking Horse Bids
Although the possession and sale of cannabis remain federally illegal under the Controlled Substances Act, the U.S. Department of Justice has largely exercised a general policy of nonprosecution for state-regulated cannabis...more
3/4/2024
/ Agribusiness ,
Bankruptcy Code ,
Bankruptcy Court ,
Cannabis Products ,
Cannabis-Related Businesses (CRBs) ,
Controlled Substances ,
Controlled Substances Act ,
Creditors ,
Debtors ,
Department of Justice (DOJ) ,
Financial Distress ,
Marijuana ,
Marijuana Related Businesses ,
Medical Marijuana ,
Plant Based Products ,
Recreational Use ,
State and Local Government ,
THC
There are two similar but distinct mechanisms through which a creditor might net amounts owed to the debtor against amounts owed by the debtor — setoff and recoupment. Understanding the distinction between them, and how...more
2/21/2024
/ Bankruptcy Code ,
Bankruptcy Court ,
Bankruptcy Plans ,
Chapter 11 ,
Commercial Bankruptcy ,
Credit ,
Creditors ,
Debt ,
Debtors ,
Financial Services Industry ,
Recoupment ,
Sale of Assets ,
Setoff Rights
Though controversial, cannabis has steadily grown into a booming industry. Despite this rapid growth and the legalization of cannabis in numerous states, cannabis is still classified as a Schedule I drug under the Controlled...more
10/25/2023
/ Agribusiness ,
Bankruptcy Code ,
Bankruptcy Court ,
Bankruptcy Plans ,
Cannabis Products ,
Cannabis-Related Businesses (CRBs) ,
Commercial Bankruptcy ,
Controlled Substances ,
Debtors ,
Financial Distress ,
Insolvency ,
Marijuana ,
Marijuana Related Businesses ,
Popular ,
Receivership ,
Regulatory Oversight
Troutman Pepper's Creditor’s Rights Toolkit is a series that provides practical insights to help creditors confront the challenges of commercial bankruptcy.
A claims agent is a third party retained by the debtor to take on...more
8/22/2023
/ Bankruptcy Code ,
Bankruptcy Court ,
Chapter 11 ,
Commercial Bankruptcy ,
Contract Terms ,
Creditor's Committee ,
Creditors ,
Debtors ,
Non-Debtors ,
Secured Debt ,
Unsecured Debt ,
Vendors