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Focus (Forum & Focus)

Sep. 15, 2007

Insolvency Profits

Focus Column - By Samuel Newman - Recent reforms to bankruptcy law provide myriad opportunities for sellers to reclaim goods delivered to an insolvent buyer.

FOCUS COLUMN

By Sam Newman

      The Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 ushered in a new regime of seemingly pro-seller laws regarding reclamation, the rights of sellers to recover goods delivered to an insolvent buyer. Courts have interpreted these new provisions narrowly, so the changes are less drastic in practice than initially predicted. Courts interpreted the act's uncertainties conservatively and ...

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