Details

Chapter 11 Bankruptcy

This course focuses on troubled business debtors and the opportunities presented by Chapter 11 of the Bankruptcy Code for restructuring a debtor's financial structure and business operations. The course will: (A) present an overview of the Chapter 11 plan confirmation requirements and the role these requirements play in the restructuring of financially troubled debtors; (B) introduce a variety of credit transactions which give rise to security interests in assets of debtors [UCC Article 9 security interests; real estate mortgages; statutory and judicial liens created by debt collection actions such as attachment, garnishment, execution, and proceedings to set aside fraudulent conveyances]; (C); examine the sections of the Bankruptcy Code which allow security interests and other pre-bankruptcy transactions to be set aside; (D) examine how the Bankruptcy Code assists debtors to continue operating their businesses while financial restructuring plans are formulated, by, e.g., automatically staying creditor collection activities, encouraging new lending to the debtor; permitting use or sale of the debtor's assets, and permitting contracts to be assumed or breached; and (E) examine the Code's requirements for preparing and confirming a plan of reorganization which binds all creditors. Throughout, the emphasis will be on the strategies and tactics available to debtors and their creditors in maneuvering for advantage in the process. The materials for the course consist primarily of problems based on an extended case study; solutions to the problems involve detailed analysis of the provisions of the Bankruptcy Code and related state statutes. The case study presents opportunities for analyzing the pre-bankruptcy transactions and financial structure of a business debtor and for thinking about the process of preparing and confirming a plan of reorganization. Students will be asked to play roles of the participants and attorneys in these transactions and to negotiate solutions to problems. Some lecture and Socratic discussion complements the case study and problems. Evaluation: Grading is based on a final examination with adjustment based on class participation. Prerequisites: There are no prerequisites, but the Business Associations, Corporations and Corporations (KSM) courses provide useful background. Students who have taken Corporate Restructuring: Bankruptcy Reorganizations may not take Chapter 11 Bankruptcy.


Catalog Number: BUSCOM 665
Practice Areas: Banking Law and RegBusiness, Corporate,Trans AreaCommercial Practice Area


Course History

Spring 2014
Title: Chapter 11 Bankruptcy
Faculty: Ayotte, Kenneth M. (courses  |  homepage)
Section: 1     Credits: 3.0
Capacity: 65     Actual: 57



Fall 2012
Title: Chapter 11 Bankruptcy
Faculty: Ayotte, Kenneth M. (courses  |  homepage)
Section: 1     Credits: 3.0
Capacity: 65     Actual: 48



Spring 2012
Title: Chapter 11 Bankruptcy
Faculty: Ayotte, Kenneth M. (courses  |  homepage)
Section: 1     Type: Lecture     Credits: 3.0
Capacity: 65     Actual: 0



Spring 2011
Title: Chapter 11 Bankruptcy
Faculty: Ayotte, Kenneth M. (courses  |  homepage)
Section: 1     Type: Lecture     Credits: 3.0
Capacity: 65     Actual: 39