Dura Automotive Systems, LLC - Preference and Fraudulent Transfer Defense Lawyer
On December 15, 2020, the Court entered an order converting the Bankruptcy Cases from chapter 11 to chapter 7 of the Bankruptcy Code.
On December 16, 2019, Jeoffrey L. Burtch was appointed as interim trustee and he now serves as trustee pursuant to 11 U.S.C. § 702(d).
"Prior to the Petition Date the Debtors were global Tier 1 automotive suppliers specializing in the design, engineering, and manufacturing of automotive products."
The United States Bankruptcy Code provides many affirmative defenses to preference actions, contained within Section 547(c). For example, the most common defenses that may be available to a Defendant under Section 547(c) may include:
• the transfer was a contemporaneous exchange for new value given to the debtor (i.e., the debtor received something of value in exchange for the transfer); 11 U.S.C. §547(c)(1);
• after such transfer, Defendant gave new value to or for the benefit of the debtor (i.e., the Defendant extended additional credit to the Debtor after receiving the transfer) 11 U.S.C. §547(c)(4); or
• the transfer was in payment of a debt incurred by the debtor in the ordinary course of business or financial affairs of the debtor and the recipient (i.e., Defendant made the transfer under ordinary business terms). 11 U.S.C. §547(c)(2).
For more information, see our page on Preference Defense Litigation: http://www.tobialaw.com/delaware-preference-defense-lawyer.html