Trade Vendors

A supplier to a distressed company faces many immediate questions, not the least of which is whether there will be an ongoing customer with which it can do business in the future. CTSW’s attorneys regularly assist vendors in assessing their options in extending ongoing business credit both prior to and during the course of bankruptcy proceedings and protecting their rights with respect to prepetition unsecured, priority and reclamation claims. Additionally, CTSW has extensive experience defending such creditors against attempts by bankrupt estates to eviscerate pre-chapter 11 protections given to such creditors including consignments, trade creditor liens, and UCC-granted rights and remedies. CTSW also has achieved successes in defending actions against creditors to recover allegedly preferential prepetition transfers.