243CT Advanced Bankruptcy Practice (2)
Discussion - 2 hours. A prior course in bankruptcy is not required. Concurrent or prior completion of Business Associations would be useful, or prior work experience providing familiarity with the different forms of business entities. Corporate reorganization is the focal point for many other areas of legal practice: finance, secured transactions, real property, litigation, even marital property. The law of bankruptcy offers an important means of corporate reorganization. For this reason, understanding corporate reorganization is a valuable practice skill to many different types of employers, and this class will be a practice-oriented class. In addition to substantive training, the class will introduce you to the various categories of employers that hire in this area. These include not only law firms, but also in-house corporate positions in various fields, the office of the United States Trustee, the chapter 7 trustee community, and judges who hire law clerks. A large number of UC Davis graduates have gone on to work in all these areas. At least seven have gone on to become bankruptcy judges.
Corporate chapter 11 is one means to restructure a struggling business. We will first examine the alternatives to chapter 11. Each decision as to whether to file and, if so, where and when to file will have extensive consequences both internal and external to the corporation. Internal consequences involve the role and authority of management and the board of directors. External consequences involve the impacts on pending litigation, financing, leases, employees, vendors, and taxing authorities. We will then examine whether a chapter 11 proceeding is feasible. If so, in what jurisdiction should it be commenced? A chapter 11 triggers the employment of many professionals. How are the professionals engaged and what roles do they serve? What are acceptable outcomes to a corporate chapter 11? A corporation can be reorganized, it can be sold, or it can be liquidated. These alternatives will be discussed, as well as how a corporate chapter 11 is closed as a legal matter, a business matter, and a business development matter.
Each student will prepare an in-depth research paper on a subject, issue, or problem of his or her choice, related to the class subject matter.
This course was offered:
- Fall 2016
- Scott McNutt