True Religion Apparel, Inc. - Preference and Fraudulent Transfer Defense Lawyer
The Court entered an order for joint administration of these chapter 11 cases for procedural purposes.
On October 6, 2020, the Court confirmed the Third Amended Joint Chapter 11 Plan of Reorganization. The Plan and Confirmation Order approved the establishment of the Avoidance Actions Trust and authorized the Avoidance Actions Trust to investigate, prosecute, settle and/or abandon certain Scheduled Avoidance Actions.
"The Debtors were founded in Los Angeles, California in 2002, and design, market, sell, and distribute premium fashion apparel, centered on its core denim products using the brand names "True Religion" and "True Religion Brand Jeans."."
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