HRB Winddown, Inc. - Preference and Fraudulent Transfer Defense Lawyer
(f/k/a Dr. Fresh, LLC).
In accordance with the Plan and Confirmation Order, the High Ridge Brands Liquidating Trust was established as of October 30, 2020. Retained Estate Causes of Action (as defined in the Plan), including avoidance actions under Chapter 5 of the Bankruptcy Code, were transferred to the Trust.
". . . the Debtors were one of the ten largest independent branded personal care companies in the United States by volume. The Debtors, headquartered in Stamford, Connecticut, held a diverse portfolio of over fourteen trusted brands across a wide variety of market segments with a particular focus on skin cleansing, hair care, and oral care, many of which are household names that enjoyed strong brand recognition with consumers. In the United States, the Debtors operated in the $8.3 billion skin cleansing, $13.1 billion hair care, and $8.6 billion oral care categories. The Debtors sold their products, and had a track record of effectively launching new products, across multiple retail channels including mass market, dollar, grocery, and drug stores."
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