I have received a demand letter from a company in bankruptcy seeking to recover for preferential payments. What should I do?
Review the answer to question 4 above. It is often advisable to get the assistance of bankruptcy counsel at this stage. These sorts of claims are routinely settled prior to the actual lawsuit being filed. This saves you money. Bankruptcy counsel can help you analyze your potential defenses and draft a written response to the demand that sets forth the basis for the defenses you have and attempts to resolve the dispute. If you ignore the letter, the debtor will sue you. This will likely increase your costs and time commitment to get the matter resolved.
Related Questions
- Are payments received from Pathfinder subject to recovery in the event the Bankruptcy Court trustee seeks to recover monies previously paid to Gramercy Court lenders?
- I received a letter from a company saying that I was preferenced, but it does not appear when I go to the Bidding CSJ. Why not?
- I have received a demand letter from a company in bankruptcy seeking to recover for preferential payments. What should I do?
