Protecting What You Have, Pursuing What You’re Owed: Eleventh Circuit Rules That Distributions on Section 503(b) (9) Claims Do Not Reduce the New Value Defense to Preferences

Perspective by CRF

There can be no doubt that the current economic landscape is challenging and forces businesses to make difficult choices. The trade creditor’s unenviable task during these times is to maintain valuable business relationships in the hopes of sustaining profitability, which often requires the continued extension of credit terms to customers despite the heightened risk of those customers being unable to satisfy their debts. James Carr and Dana Kane explore this issue in an article in Perspective by CRF.
You can read the full article here.