Emory Bankruptcy Developments Journal

Volume 30Issue 1

Hey, the Sun is Hot and the Water’s Fine: Why Not Strip Off That Lien?

Lawrence Ponoroff | 30 Emory Bankr. Dev. J. 13 (2013)

In this article, the author maintains that avoidance of wholly unsecured liens (“strip off”) in chapter 7 is permissible and desirable notwithstanding the Supreme Court’s controversial 1992 decision in Dewsnup v. Timm, which refused to permit avoidance of the unsecured portion of a partially secured lien (“strip down”). The argument flows from a broader analysis of the proper characterization of secured claims in bankruptcy.

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Maneuvering in the Shadows of the Bankruptcy Code: How to Invest in or Take Over Bankrupt Companies within the Limits of the Bankruptcy Code

Sam Roberge | 30 Emory Bankr. Dev. J. 73 (2013)

Profiting off of bankrupt companies? Sounds impossible. It is not—and this Article explains how to do it. When a company declares bankruptcy, all levels of its capital structure are for sale. Investors have two alternatives: (1) purchase these “claims” against the company at a discount, and turn them into profitable investments once the company exits bankruptcy; or (2) take over the bankrupt entity, in a bankruptcy version of a hostile takeover.

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