Recent Stimulus Legislation’s Changes to the Bankruptcy Code

The speakers will discuss the changes to the Bankruptcy Code enacted as part of the Consolidated Appropriations Act of 2021. These changes include a new statutory exception to preference liability that raises many questions for creditors to consider and for courts to resolve following litigation. The speakers also will discuss Debtor eligibility for PPP loans, expanded debtor protections in connection with commercial leases, and other changes.

Bruce Nathan, Esq.

With more than 35 years of experience in the bankruptcy and insolvency field, Bruce is a recognized leader nationwide in trade creditor rights and the representation of trade creditors in bankruptcy and other legal matters. He has represented trade and other unsecured creditors, unsecured creditors' committees, secured creditors, and other interested parties in many of the larger Chapter 11 cases that have been filed. Bruce also handles letters of credit, guarantees, security, consignment, bailment, tolling, and other agreements and legal credit issues for the credit departments of institutional clients.

Among his various legal recognitions, Bruce received the Top Hat Award in 2011, a prestigious annual award honoring extraordinary executives and professionals in the credit industry. He was co-chair of the Avoiding Powers Committee that worked with the American Bankruptcy Institute's (ABI) Commission to Study the Reform of Chapter 11, participated in ABI's Great Debates at their 2010 Annual Spring Meeting–arguing against repeal of the special BAPCPA protections for goods providers and commercial lessors–and was a panelist for a session sponsored by ABI. He is a frequent presenter at industry conferences throughout the country, as well as a prolific author regarding bankruptcy and creditors' rights topics in various legal and trade publications. Bruce is a co-author of "Trade Creditor Remedies Manual: Trade Creditors' Rights under the UCC and the U.S Bankruptcy Code," published by ABI at the end of 2011. He has also contributed to ABI Journal and is a former member of ABI's Board of Directors and former co-chair of ABI's Unsecured Trade Creditors Committee.

Eric Chafetz, Esq.

Creditors' committees, trade creditors, and plan/liquidating trustees involved in complex bankruptcies regularly turn to Eric for strategic counsel on creditors' rights. He also represents secured creditors in connection with their use of cash collateral and related adequate protection issues, and he advises debtors on various phases of their reorganization efforts.

Eric frequently negotiates:

• Cash collateral and debtor-in-possession (DIP) financing orders
• Bid procedures, bid procedures orders, sale orders, and the underlying corporate transaction documents
• Plans of reorganization, liquidation trust agreements, plan supplements, plan support agreements, and rights offering procedures

Additionally, Eric advises clients on their rights associated with the assumption and assignment of executory contracts and the cure amounts associated therewith.  Eric is well-versed in all aspects of the claims resolution and reconciliation process. Clients benefit from his extremely successful track record in investigating and prosecuting actions against officers, directors, and lenders, as well as in prosecuting and defending hundreds of preference actions. A leader in his field, Eric participated in the American Bankruptcy Institute (ABI) Commission's Avoidance Power Subcommittee's study of the aspects of the Bankruptcy Code involving preferences, creditors' reclamation rights, and creditors' rights under Section 503(b)(9). Eric is also a prolific author and has published numerous articles addressing various cutting-edge issues in journals geared toward trade creditors. He is a frequent speaker on current bankruptcy and creditors’ rights topics, including serving as a guest lecturer at the Columbia University School of Professional Studies and Cornell Tech’s Master of Laws program, where he has presented topics on the intersection of bankruptcy and such fields as real estate and intellectual property.

Active in the firm's pro bono efforts, Eric has represented several individuals who filed for Chapter 7 bankruptcy protection, as well as veterans before the Department of Veterans Affairs.

Michael Papandrea, Esq.

Michael provides counsel to debtors, creditors’ committees, individual creditors, liquidating trustees, and other interested parties with respect to corporate bankruptcy and creditors’ rights matters, including bankruptcy-related litigation. Reliable and efficient, Michael is appreciated for his innate ability to effectively apply and communicate his understanding of the law and general business principles with respect to complex issues, both while providing advice to clients and while aggressively advocating on their behalf. Michael works tirelessly to understand clients’ needs and provide practical solutions that are reasonable, balanced, and favorable to the clients he serves. Michael takes pride in his commitment to the community and provides pro bono representation to individuals and a nonprofit organization regarding bankruptcy and foreclosure-related matters. Prior to joining the firm, Michael held multiple clerkships in the U.S. Bankruptcy Court; he clerked for the Hon. Jerrold N. Poslusny, Jr. (District of New Jersey), the Hon. Ashely M. Chan (Eastern District of Pennsylvania), and the Hon. Gloria M. Burns (Chief Judge, District of New Jersey). Michael applies the valuable insights learned from working closely and directly with these members of the judiciary to his everyday practice.