Georgia Bankruptcy Blog

Georgia Bankruptcy Blog

Tag Archives: preference

In a Case of First Impression, 11th Circuit Rules “New Value” Can Be Both Preference Defense and Administrative Claim

In Auriga Polymers, Inc. v. PMCM2, LLC, as Liquidating Trustee, No. 20-14647, 2022 WL 2800195 (11th Cir. July 17, 2022) (click here for .pdf) the creditor, Auriga, received transfers of more than $2.2 million in the 90 days before the Debtor, Beaulieu Group, LLC, filed its Bankruptcy case on July 16, 2017.  During the 90… Continue Reading

3rd Circuit – Contemporaneous Exchange Defense To Preference Action Applies Even Where Payment Made In Context Of Credit Agreement

Hechinger Investment Company of Delaware, Inc. v. Universal Forest Products, Inc., Nos. 06-2166, 06-2229, 2007 U.S. App. LEXIS 13155 (3rd Cir. June 7, 2007).   The issue was whether preferential transfers may be protected by the contemporaneous exchange defense of §547(c)(1).  Bob Eisenbach comments on the case at the Business Bankruptcy Blog, so I will just… Continue Reading