Latest Articles

In corporate bankruptcies, trustees are empowered to "claw back" payments made by a debtor before filing — especially those deemed preferential or fraudulent. Under Section 544(b) of the Bankruptcy Code, a trustee can step into the shoes of a creditor and use state law to recover transfers that fall outside the federal two-year lookback period, if a creditor under applicable state law could do so.

Most creditors wait passively. The smart ones move first. This piece offers a proactive roadmap for monitoring warning signs, preparing for the possibility of Chapter 11, and engaging early to improve the odds of recovery.

Demystifying the process for non-lawyers. This article gives creditors a behind-the-scenes look at what unfolds once a company files—and how to position yourself to respond, engage, and recover.

Not all distress is sudden. Many companies miss the early indicators. This article covers operational and financial warning signs that signal it's time to act—and how firms from California to Florida and Texas to New York can begin corrective action before crisis hits.

A rallying cry for individual or small creditors who feel lost in big bankruptcies. We’ll highlight real recoveries from overlooked parties and show how smart strategy—not just deep pockets—wins better outcomes.

The emotional volatility of a distressed board can derail even the strongest executive. This article teaches CEOs how to communicate clearly with stakeholders, stay calm under pressure, and maintain strategic direction when panic sets in around them.

What is an ad hoc group, and why does it matter? This article walks through how informal creditor groups form, what they can accomplish in large Chapter 11 cases, and how the right team can represent individual creditors with disproportionate influence.

Without cash, it’s over. This piece outlines how to build and operate a 13-week rolling cash flow model, prioritize obligations, and stabilize operations while still buying time. It will be practical and specific, with direct ties to what White Knight Restructuring does best.

There’s a part of restructuring no one talks about: the emotional wreckage. Shame. Guilt. Isolation. This piece speaks directly to the human side of financial collapse, offering validation and perspective for business leaders who feel like they’ve let everyone down. There’s still dignity, even in the downturn.

Distressed firms often discover that more people are watching than they realized. This article will break down who the key stakeholders are (creditors, landlords, lenders, boards, key vendors), what they care about, and how to manage them proactively to preserve control of the process.

Bankruptcy might feel inevitable—but the steps you take before filing can drastically impact your outcome. This guide outlines what you must do before pulling the trigger, including cash triage, asset protection, and stakeholder mapping. Filing is a strategy—not a panic button. Treat it that way.

A clear, immediate-action guide for creditors who’ve just been left unpaid. This piece explains how to protect rights, preserve leverage, and avoid emotional or strategic missteps in the early days of dealing with a client’s default or bankruptcy.

Missing payroll is every business owner’s nightmare—but it’s not the end of the road. This article offers a practical, steady guide for the next 72 hours: who to call, what to communicate, and how to regain control of the situation. When cash runs out, leadership matters more than ever.

A playbook-style breakdown of what it really means to avoid a crash. This article will walk leaders through how to create a structured, strategic path out of distress — showing what a “soft landing” looks like in practice, and why it matters more than ever in places like Florida and New York where filings have increased post-COVID.

Following amendments to 28 U.S.C. §1930(a)(6) in 2017, debtors in U.S. Trustee districts saw a substantial increase in quarterly fees—rising from a maximum of $30,000 to as high as $250,000 per quarter, based on disbursement size. However, not all districts implemented the increase uniformly, creating unequal treatment of similarly situated debtors across the country.

When the wheels come off, silence can be the most dangerous choice. This article outlines the three critical conversations every debtor must have right away—with internal staff, key vendors, and a trusted advisor. Knowing what to say, and when, can mean the difference between chaos and clarity.

The dispute arose from the bankruptcy of Sears Holdings Corporation. In 2019, Sears sold assets, including a lease at Minnesota’s Mall of America, to Transform Holdco, the entity backed by former Sears Chairman Eddie Lampert, which “bought” Sears Holdings Corporation out of bankruptcy.

Most business owners facing distress carry the heavy weight of failure on their shoulders. But the truth is, restructuring isn’t about failure—it’s about survival. This piece reframes the conversation around business collapse, showing how smart leaders use downturns as turning points. You’re not broken. You’re building a path forward.

Kaiser Gypsum, a manufacturer of asbestos-containing products, filed for Chapter 11 bankruptcy in 2016 in response to thousands of personal injury claims. As part of its reorganization plan, Kaiser created a trust under §524(g) of the Bankruptcy Code to handle all current and future asbestos claims.

Bankruptcy is often seen as a last resort, but why do companies end up there in the first place? While every business failure has its own unique story, certain patterns emerge when analyzing why companies go bankrupt. Understanding these reasons can help business owners take proactive steps to avoid financial disaster.

Filing for bankruptcy isn’t as simple as just submitting paperwork—it involves specific legal jurisdictions, rules, and court procedures. Choosing the right place to file is critical, as filing in the wrong jurisdiction can lead to delays or even dismissal of the case. Understanding where bankruptcy can be filed ensures that the process is handled correctly from the start.

Johnson & Johnson (J&J), facing over 40,000 lawsuits related to alleged harm caused by its talc-based baby powder, executed a corporate maneuver known as the "Texas Two-Step." The “Texas Two-Step” is a controversial bankruptcy maneuver that allows a company to split itself into two entities—one that retains the valuable assets and another that absorbs the legal liabilities—and then puts the liability-holding entity into bankruptcy.

The idea of filing for bankruptcy can feel overwhelming, but it isn’t always necessary. While bankruptcy provides a legal way to resolve unmanageable debt, it is not the only option. Determining whether to file requires a careful assessment of financial circumstances, alternative solutions, and long-term consequences.

In 2020, Serta Simmons Bedding—a household name in the mattress industry—executed a controversial liability management transaction that reshaped the dialogue around creditor rights and intercreditor agreements. Facing liquidity constraints, the company engaged in a privately negotiated uptier exchange with a majority group of first-lien lenders.

Filing for bankruptcy isn’t just about whether you qualify—it’s also about when you file. The timing of a bankruptcy petition can significantly impact the outcome, affecting what debts are discharged, what assets you can protect, and how your financial future unfolds. Understanding when to file ensures you make the best decision for your situation.

Recent U.S. Supreme Court decisions are reshaping the legal landscape for commercial bankruptcy across the country. From clarifying the limits of trustee powers (United States v. Miller) to redefining appellate rights (MOAC Mall v. Transform Holdco) and restricting third-party releases (Purdue Pharma), these rulings are establishing critical nationwide precedent. For professionals navigating complex bankruptcies, staying updated on these top court decisions isn’t optional — it’s essential.

Filing for bankruptcy can seem overwhelming, but breaking it down into steps can make the process more manageable. Whether you are an individual or a business, following the correct procedures ensures that your case proceeds smoothly. Here’s how to file for bankruptcy, step by step.

Understanding the Difference Between Financial Distress and Bankruptcy Falling behind on bills can be stressful, but it doesn’t necessarily mean you are bankrupt. Many people experience financial hardship at some point, but bankruptcy is a legal status with specific definitions and consequences. Knowing the distinction can help determine the right course of action.