Preferential transfer - Revision history

Aschlafly: /* Defenses */

2023-06-28T04:17:56Z

Defenses

Aschlafly: A strong defense against a claim challenging a preference transfer is the "ordinary course of business" argument

2023-06-28T03:49:09Z

A strong defense against a claim challenging a preference transfer is the "ordinary course of business" argument

DavidB4-bot: clean up & uniformity

2016-07-13T17:47:24Z

clean up & uniformity

Taj: see also

2012-01-22T19:12:34Z

Taj: minor formatting

2012-01-22T19:10:59Z

minor formatting

Aschlafly: cats

2008-01-20T14:06:04Z

cats

Aschlafly: New page: A '''preferential transfer''' is a transfer of money (or property) by someone in the period just prior to going into bankruptcy. By law those transfers can then be undone or rescinded...

2008-01-20T14:05:24Z

New page: A '''preferential transfer''' is a transfer of money (or property) by someone in the period just prior to going into bankruptcy. By law those transfers can then be undone or rescinded...

New page

A '''preferential transfer''' is a transfer of money (or property) by someone in the period just prior to going into [[bankruptcy]]. By law those transfers can then be undone or rescinded, and the money retrieved from the recipient, after the debtor goes into [[bankruptcy]].

[[Federal]] law<ref> 11 U.S.C. § 547(b).</ref> defines as '''preferential transfer''' as "any transfer of an interest of the debtor in property --

"(1) to or for the benefit of a creditor;

"(2) for or on account of an antecedent debt owed by the debtor before such transfer was made;

"(3) made while the debtor was insolvent;

"(4) made --

"(A) on or within 90 days before the date of the filing of the petition; or

"(B) between ninety days and one year before the date of the filing of the petition, if such creditor at the time of such transfer was an insider; and

"(5) that enables such creditor to receive more than such creditor would receive if --

"(A) the case were a case under chapter 7 of this title;

"(B) the transfer had not been made; and

"(C) such creditor received payment of such debt to the extent pro- vided by the provisions of this title."

== References ==

<references/>

@@ Line 37: / Line 37: @@
 A strong defense against a claim challenging a preference transfer is the "ordinary course of business" argument:
 {{cquote|ordinary course of business defense is intended to protect recurring, customary credit transactions that are incurred and paid in the ordinary course of business.  ... [A] “trustee may not avoid a transfer as a preference to the extent that such 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 transferee, and such transfer was” either “(A) made in the ordinary course of business or financial affairs of the debtor and the transferee; or (B) made according to ordinary business terms.”  Davis v. All Points Packaging & Distrib. (In re Quebecor World (USA) Inc.), 491 B.R. 363, 368 (Bankr. S.D.N.Y. 2013) (emphasis added), adopted by, 2013 U.S. Dist. LEXIS 170359 (S.D.N.Y. Nov. 25, 2013).}}
 == References ==

← Older revision		Revision as of 03:49, June 28, 2023
Line 33:		Line 33:
	</blockquote>		</blockquote>

		+	== Defenses ==
		+
		+	A strong defense against a claim challenging a preference transfer is the "ordinary course of business" argument:
		+	{{cquote\|ordinary course of business defense is intended to protect recurring, customary credit transactions that are incurred and paid in the ordinary course of business. ... [A] “trustee may not avoid a transfer as a preference to the extent that such 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 transferee, and such transfer was” either “(A) made in the ordinary course of business or financial affairs of the debtor and the transferee; or (B) made according to ordinary business terms.” Davis v. All Points Packaging & Distrib. (In re Quebecor World (USA) Inc.), 491 B.R. 363, 368 (Bankr. S.D.N.Y. 2013) (emphasis added), adopted by, 2013 U.S. Dist. LEXIS 170359 (S.D.N.Y. Nov. 25, 2013).}}
	== References ==		== References ==

@@ Line 1: / Line 1: @@
 A '''preferential transfer''' is a transfer of money (or property) by someone in the period just prior to going into [[bankruptcy]].  By law those transfers can then be undone or rescinded, and the money retrieved from the recipient, after the debtor goes into bankruptcy.
-[[Federal]] law<ref> 11 U.S.C. § 547(b).</ref> defines as '''preferential transfer''' as "any transfer of an interest of the debtor in property --
+[[Federal]] law<ref>11 U.S.C. § 547(b).</ref> defines as '''preferential transfer''' as "any transfer of an interest of the debtor in property --
 "(1) to or for the benefit of a creditor;
@@ Line 40: / Line 40: @@
 *[[Bankruptcy code]]
-[[category:bankruptcy]]
+[[Category:Bankruptcy]]
-[[category:Bankruptcy Law]]
+[[Category:Bankruptcy Law]]

@@ Line 1: / Line 1: @@
-A '''preferential transfer''' is a transfer of money (or property) by someone in the period just prior to going into [[bankruptcy]].  By law those transfers can then be undone or rescinded, and the money retrieved from the recipient, after the debtor goes into [[bankruptcy]].
+A '''preferential transfer''' is a transfer of money (or property) by someone in the period just prior to going into [[bankruptcy]].  By law those transfers can then be undone or rescinded, and the money retrieved from the recipient, after the debtor goes into bankruptcy.
 [[Federal]] law<ref> 11 U.S.C. § 547(b).</ref> defines as '''preferential transfer''' as "any transfer of an interest of the debtor in property --
@@ Line 36: / Line 36: @@
 <references/>
 [[category:bankruptcy]]
 [[category:Bankruptcy Law]]

← Older revision		Revision as of 14:06, January 20, 2008
Line 26:		Line 26:

	<references/>		<references/>
		+	[[category:bankruptcy]]
		+	[[category:Bankruptcy Law]]

@@ Line 11: / Line 11: @@
 "(4) made --
-     "(A) on or within 90 days before the date of the filing of the petition; or
+     <blockquote>
-     "(B) between ninety days and one year before the date of the filing of the petition, if such creditor at the time of such transfer was an insider; and
+     <blockquote>
 "(5) that enables such creditor to receive more than such creditor would receive if --
-     "(A) the case were a case under chapter 7 of this title;
+     <blockquote>
-     "(B) the transfer had not been made; and
+     <blockquote>
-    "(C) such creditor received payment of such debt to the extent pro- vided by the provisions of this title."
+   <blockquote>
 == References ==
 <references/>
 [[category:bankruptcy]]
 [[category:Bankruptcy Law]]