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Emory Bankruptcy Developments Journal

Abstract

This Comment proposes a framework by which bankruptcy courts can analyze cases involving non-equity crowdfunding and small business debtors. The framework is best described in the context of four questions likely to be raised by the creditors of a crowdfunding debtor. Using these questions, a court evaluates these cases with an eye towards promoting trust in the crowdfunding sector. By explaining the proposed framework through the eyes of a fictional small business, this Comment argues that courts can answer creditors' questions in a way that both satisfies the twin aims of bankruptcy and protects the integrity of the crowdfunding system.

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