Reclamation Rights in Bankruptcy | Practical Law

Reclamation Rights in Bankruptcy | Practical Law

This Practice Note discusses the reclamation rights of unpaid sellers of goods to insolvent buyers who later file for bankruptcy, including the elements of, and defenses to, a reclamation claim. This Note also discusses the procedure for asserting a reclamation claim in bankruptcy, the remedies available to a successful reclaiming seller, the section 503(b)(9) administrative expense claim as an alternative remedy to reclamation, and pre- and post-bankruptcy strategies for sellers of goods to financially troubled buyers. 

Reclamation Rights in Bankruptcy

Practical Law Practice Note 7-506-5441 (Approx. 33 pages)

Reclamation Rights in Bankruptcy

by Practical Law Bankruptcy & Restructuring and Practical Law Finance
MaintainedUSA (National/Federal)
This Practice Note discusses the reclamation rights of unpaid sellers of goods to insolvent buyers who later file for bankruptcy, including the elements of, and defenses to, a reclamation claim. This Note also discusses the procedure for asserting a reclamation claim in bankruptcy, the remedies available to a successful reclaiming seller, the section 503(b)(9) administrative expense claim as an alternative remedy to reclamation, and pre- and post-bankruptcy strategies for sellers of goods to financially troubled buyers.