Jeff Kosseff, a former journalist turned lawyer and jurist, became one of the leading experts on the 1996 law and is the author of the aptly titled book “The Twenty-Six Words That Created the Internet.” Paragraph 10 [adopted as paragraph (9)] defines the term “creditor” as including holders of anticipated claims against the debtor. However, it also includes certain holders of claims that would have arisen before the date of submission of the application, such as those adversely affected by the rejection of a contract that has not yet been performed or a lease that has not expired, certain holders of investment tax credits, creditors with “involuntary deficiencies” and certain holders of the right of set-off. The term also includes the holder of a joint claim prior to the claim. A guarantor or guarantor of a claim against the debtor is also a creditor because it holds a contingent claim against the debtor that is fixed when it pays the creditor whose claim it has secured or insured. What happens if there is a legal dispute between the foreign investor and his Egyptian partners or employees? Jake, whose sister is an archaeologist, also plans to study the subject. Subsection 101(14) adopts the definition of “entity” contained in H.R. 8200 adopted by the Senate. Since the Senate amendment to H.R. 8200 removed the U.S.
trustee, a corresponding definition change will be made in Chapter 15 of the House amendment for U.S. directors under the pilot program. The House of Representatives` passage of a Chapter 15 pilot program for U.S. administrators requires the inclusion of the term “U.S. administrator” in many sections. Several provisions of Chapter 15 of the House amendment regarding the U.S. trustee were not included in the Senate amendment as a replacement. The definition of the term “insolvent” in paragraph 26 derives from § 1 No. 19 of the applicable law [§ 1 No. 19 of former Title 11].
A business is insolvent if its debts exceed its assets, at fair valuation value, without assets exempted or fraudulently transferred. This is the traditional insolvency test for insolvency. In the case of a partnership, the definition is amended to reflect the liability of a general partner for the debts of the partnership. The difference between this definition and the definition in current law is that exempt assets are excluded for all purposes from the definition of insolvency. Paragraph 14 [promulgated as paragraph (13)] defines the term “uninterested person”. The definition derives from Article 158 of Chapter X of the applicable law [Article 558 of former Title 11], although it has been broadened and amended in some respects. A person is a disinterested person if he or she is not a creditor, equity holder or insider; is not and was not an investment banker of the debtor for the debtor`s outstanding collateral (the change from underwriter under applicable law to investment banker is intended to make the term more descriptive and to avoid conflicts with the definition of underwriter in Section 2(11) of the Securities Act of 1933 (15 U.S.C. 77b(11)); within 3 years prior to the filing date of the petition (the increase from five years to three years corresponds to the statute of limitations of the Securities Act of 1933) [15 U.S.C. 77m] or an attorney for such an investment banker; is not an insider of the debtor or such an investment banker; and has no materially detrimental interest in the estate. The term “securities dealer” is defined in paragraph 39 as a person who trades in securities for hire or reward or with members of the general public for his or her own account if the person has a client as defined in that person.
Thus, the definition, derived from a combination of the definitions of “dealer” and “dealer” in the Securities Exchange Act of 1934 [15 U.S.C. 78c], includes both broker and dealer. The definition is used in section 109 and subchapter III of Chapter 7, Liquidation of Shareholders. The term does not include an employee acting for a principal who “conducts” a transaction or deals with the public, as such an employee does not have a “customer”. Section 101(4)(B) is an amendment to the law passed by the House of Representatives to include the definition of “claim” of a right to a fair remedy for breach of performance where such failure results in a demand for payment. This is intended to result in the liquidation or valuation of any claims for which there may be another equitable remedy so that the equitable remedy can be disposed of in the event of bankruptcy. For example, in some States, a judgment on a particular benefit may be satisfied by a claim for an alternative payment if the benefit is denied; In this case, the creditor entitled to a particular advantage would have a “claim” for the purposes of the procedure under Title 11. Clause 101(40) defines “transfer” as in the Senate amendment. The definition in H.R. 8200, as adopted by the House of Representatives, included “set-off” in the definition of “transfer.” The inclusion of the term “compensation” is deleted. Consequently, a “set-off” cannot be cancelled as a preferential “transfer”, but is subject to special rules. The term “affiliate” is primarily defined to be used in the definition of Insider, Infra and to be used in the cases of reorganization set forth in Chapter 11.
The definition of “affiliate” does not include a corporation acting in trust or as an agency if the entity does not have the sole discretion to select 20% of the voting securities, but holds them only as collateral and has not exercised voting rights. That restriction shall apply to an affiliated undertaking referred to in point (B) of paragraph 2. Section 34 defines “parent” as a person who is related by affinity or consanguinity at third degree at common law and includes persons under probationary or adoption status. The definition is similar to the current law, but adds this last sentence. This definition should be applied from the moment the transaction in question took place. Thus, a former spouse is not a parent, but if, for example, for purposes of proposed 11 U.S.C. 547(b)(4)(B), the purchaser was a spouse of the debtor at the time of the transfer to be avoided, the purchaser would be related and subject to insider rules, even if the purchaser was no longer married to the debtor at the time of commencement or commencement of preferential proceedings. Section (6) defines “community law” for the eight states that have communal property laws. The definition refers to liability for the debtor`s assets in the event of a claim against the debtor or the debtor`s spouse.