SRC Liquidation, LLC (f/k/a The Standard Register Company) - Preference Defense Lawyer
On March 12, 2015 (the “Petition Date”), The Standard Register Company, and affiliated entities (collectively, the “Debtors”) each filed in the United States Bankruptcy Court for the District of Delaware (the “Court”) a petition for relief under Chapter 11 of title 11 of the United States Code (the “Bankruptcy Code”). On November 19, 2015, the Court entered an order confirming the Debtors' Second Amended Chapter 11 Plan of Liquidation for SRC Liquidation Company and its affiliates (With Technical Modifications).
These adversary actions and the Chapter 11 proceedings are before the Honorable Brendan L. Shannon.
Common Defenses in Preference Actions
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
If you conducted business with the Standard Register Company, and especially if you have received a demand letter or complaint, contact us here, email us at firstname.lastname@example.org or call the firm’s Wilmington offices directly at (302) 655-5303 to schedule an initial consultation. We can discuss the situation and share with you our initial observations at no charge.