NACM Oregon
Business Credit Journal May
A monthly newsletter published by NACM Oregon
In This Issue BAPCPA Revisited................. 1 Chair’s Message.................... 2 President’s Message.............. 2 Legal Corner........................ 3 Annual Meeting.................... 4 New Designee’s.................... 7 International Corner............. 9 ITSBM Scholarships.............. 10 NOF Scholarship Funds......... 11 BCLC Webinars..................... 12 Education Schedule.............. 12 New Members...................... 13 Job Postings......................... 14 DSO Results......................... 16 Contacts.............................. 20
2012
BAPCPA Revisited: A Three-Part Series Analyzing Retail Restructurings Before BAPCPA, Since BAPCPA, and the Future of Retail Bankruptcies Under the Bankruptcy Code by Lawrence C. Gottlieb, Brent Weisenberg, and Michael Klein Retailers today almost invariably commence the Chapter 11 process with little hope of emerging as a stand alone entity. Numerous economic factors over the years – the credit crunch, the subprime lending crisis, the slowdown of the housing market, and the eroding value of retail leases – have clearly contributed to this downward spiral. But pinning the disappearance of retail reorganizations solely on one or more of these economic factors ignores the devastation on the reorganization process wrought by the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 (“BAPCPA”). This article is the first in a three-part series describing retail reorganizations before BAPCPA, the effects of BAPCPA on retailers filing for Chapter 11 relief, and the future of retail bankruptcies under the Bankruptcy Code. This article briefly discusses the Bankruptcy Code as it existed prior to BAPCPA and some of the more meaningful changes it made to corporate reorganizations. Part two of this series discusses the effects of BAPCPA on retailers seeking to reorganize under Chapter 11 of the Bankruptcy Code. Part three of this series projects what’s in store for struggling retailers and discusses the future of retail bankruptcies under the Bankruptcy Code. BAPCPA’S Amendment to a Debtor’s Time to Assume or Reject Non-Residential Real Property Leases Prior to BAPCPA, Section 365(d)(4) of the Bankruptcy Code afforded a debtor 60 days after the bankruptcy filing to assume or reject its unexpired non-residential real property leases, which deadline was subject to open-ended extensions for cause. Although the practice of obtaining these ...continue on page 18
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