CREDITORS’ RIGHTS ATTORNEY

Bankruptcy Counsel for Creditors

When a customer, borrower, business partner, or other counterparty files bankruptcy, creditors must navigate a federal process that can fundamentally change how they collect, enforce, and protect their rights.

The Bankruptcy Code imposes an automatic stay, establishes deadlines for filing claims, controls the treatment of contracts and leases, and provides a framework for restructuring or liquidating the debtor's obligations.

Perry, PLLC represents creditors in bankruptcy proceedings, helping businesses protect their contractual, financial, and property rights throughout Chapter 7 and Chapter 11 cases.

The firm's creditor-side bankruptcy practice includes proofs of claim, claims administration, automatic stay issues, Chapter 11 plan negotiations, objections, executory contracts, bankruptcy litigation, and other matters affecting creditor rights.

  • A proof of claim is often one of the most important documents a creditor files in a bankruptcy case.

    Creditors may have claims arising from:

    • Unpaid invoices

    • Loans

    • Leases

    • Contracts

    • Indemnification obligations

    • Unpaid services

    • Property damage

    • Litigation

    Perry, PLLC assists creditors with identifying, calculating, documenting, and filing bankruptcy claims.

    The firm also assists with objections to claims filed by other parties and disputes concerning the amount, classification, or priority of claims. More.

  • The automatic stay is one of the first issues creditors should evaluate after a bankruptcy filing. The stay generally restricts certain actions against the debtor and property of the bankruptcy estate. For creditors, that can affect:

    • Collection efforts

    • Lawsuits

    • Foreclosure

    • Repossession

    • Garnishment

    • Contract enforcement

    • Arbitration

    • Judgment enforcement

    • Other efforts to collect a prepetition obligation

    The existence and scope of the stay must be evaluated based on the particular circumstances.

    Perry, PLLC advises creditors regarding the automatic stay and, when appropriate, motions for relief from the stay. More.

  • Bankruptcy can significantly affect contracts between debtors and creditors.

    Under §365 of the Bankruptcy Code, a debtor may be able to assume, reject, or assign certain executory contracts and unexpired leases, subject to applicable requirements.

    For a creditor or counterparty, that can raise important questions:

    • Is the agreement executory?

    • Can the debtor reject the contract?

    • What happens to the creditor's claim following rejection?

    • What defaults must be cured?

    • Is assignment permitted?

    • Does a proposed assignment affect the creditor's rights?

    Perry, PLLC advises creditors and counterparties regarding the bankruptcy treatment of contracts and leases. More.