As the creditor of a debtor that has filed for bankruptcy protection,
you have all of the following rights:
To place the account on credit hold
To change the terms to no business or cash in advance
To shorten the credit terms
To reduce the credit limit
To stop shipments in transit to the debtor
To demand that or business entity that owes money.
Money: A medium of exchange; coined or stamped currency.
Stamped currency: A medium of exchange; coined or stamped currency.
y. common carriers return shipments to you
File a reclamation claim
Reclamation: The process by which a seller demands that an insolvent
buyer return goods purchased on credit.
Claim: A right to payment or other equitable remedy Relates to the judicial
means or court procedures by which legal and equitable rights are enforced.
in the event of a breach of contract.
To refuse to do business with the debtor
To ask for statement of account as of the bankruptcy
To refuse to accept C.O.D. payments
To refuse to accept company checks
To demand payments under a personal guarantee
To assume liability for the debts or obligations of another in
the event of a default. ,
To sue guarantors that do not pay you
A person who assumes liability for (guarantees) the debts or
obligations of another in the event of a default.
To attend court hearings
Bring to the attention of the trustee
Trustee: A person who takes possession of a debtor's assets in
a bankruptcy proceeding and liquidates them to pay creditors.
Appointed by the bankruptcy
judge unless the district has a U.S. Trustee. or the Bankruptcy Court
any facts proving the debtor has hid assets, or committed some
other type of
bankruptcy fraud A deception used to induce a supplier to sell. In a
fraud, the debtor has no intention of repaying debt.
To ask the Court to appoint a trustee
Ask the court for approval to seize the assets that
your company has a perfected security interest in
To join the creditor's committee.
To refuse to join the creditor's committee.
To refuse to return payments in response to a reclamation
To negotiate and if necessary to litigate over claimed
Petition: The document that initiates a bankruptcy
case. "Pre-petition" events
are those that occur before a bankruptcy petition is filed, and "post
petition" events are those that occur after the petition is filed. the
Court to convert a Chapter 11 reorganization bankruptcy into a Chapter 7 liquidation.