Vendors Selling on Credit to the Chapter 11 Debtor: Opportunities and Risks

• Overview

This OnDemand Webinar will cover the opportunities and risks for a credit professional with selling to a Chapter 11 debtor. This program will also cover administrative priorities, selling on credit in Chapter 11, vendors' liens and cross-collateralization provisions. What steps should you consider to maximize payment on your prepetition debt when a customer files, as well as limit credit risk on any future sales? This OnDemand Webinar will cover voluntary filing requirements including where the customer may file (why Delaware?), first day motions, dealing with the debtor and postpetition sales, stopping goods in transit, set off rights and automatic stay. Additionally, this program will cover allowance and payment of reclamation claims, the Chapter 11 plan, preference risk and waivers, creditors' committee and the bar date.

Authors

Agenda

The Major Players in Bankruptcy Proceedings

• Management, Creditors, Committees, Trustee

• Dealing With Your Prepetition Claim

• Considering Postpetition Credit Sales

The Critical Vendor Trade Doctrine

• Bankruptcy Code - Critical Vendor

• Factors Considered in Determining Critical Vendor Status

• Procedure

Stopping Goods in Transit and Reclamation

• The Right to Stop Goods

• Elements of a Reclamation Claim

• Problems for Vendors

Trade Lien Program

• Extensions of Trade Credit

• Third-Party Agents

• Advantages of Global Vendor Programs

Preferences

• Elements of a Preference

• Vendor Defenses

Return of Inventory

Trade Creditors and Discrimination at the Plan Stage