Alabama State Bar

Mrs. Annie Taylor learned she was being sued for conversion when a man appeared at her apartment door and handed her a notice requiring her attendance in Tuscaloosa County Small Claims Court. The man told her she was being sued and that the lawsuit was scheduled for trial.

Ignorance of the law is no excuse. We all learned that in law school. Still, you don’t know what you don’t know. And when it comes to bankruptcy law, too many of us just don’t know some basics, like how to protect your fee. Non-bankruptcy lawyers routinely represent debtors or their litigation opponents in non-bankruptcy disputes, such as personal injury claims. To comply with your duty to competently represent clients who are in bankruptcy or litigating against a debtor, and to protect your fee, know these fundamentals.

Chapter 11 bankruptcy has been a graveyard for far too many small businesses. Too often, small businesses enter a Chapter 11 bankruptcy case only to have the bankruptcy case subsequently dismissed or converted to liquidation in Chapter 7.

Rising interest rates, inflation, and a global economic slowdown create the perfect storm, pushing some companies into financial distress. These conditions can also create opportunities for investors to make strategic acquisitions of distressed assets.