Bankruptcy Lawyer Near Long Island-NYC, NY: we are a premier New York law firm near you filling all of our clients’ needs from general bankruptcy inquiries for individuals and businesses, secured and unsecured lenders, trade creditors, bankruptcy trustees, creditor committees, equipment lessors, franchisees, real estate developers, as well as landlords’ law, tenants law, and debtors-in-possession law.
We have an established reputation as excellent attorneys in our fields, for both creditor representation and for debtor bankruptcy representation.
Our firm has been a constant leader in the filing of corporate Chapter 11 bankruptcy reorganizations in the Eastern District of New York.
At Pryor & Mandelup LLP we regularly represent individuals in the complexities of personal bankruptcy matters, as well as the related areas that come up, like foreclosure, guarantees, lien-law rights, veil-piercing litigation, claw back litigation, and, of course, shareholder disputes.
Pryor & Mandelup was formed in 1987 by Robert L. Pryor and A. Scott Mandelup, and so we have a longstanding tradition of excellence.
For more than 30 years, we ahve been providing the comprehensive and the compassionate legal advice, and this is custom tailored to the specific needs and wants of the clients.
Pryor & Mandelup LLP and their founding partners have each been accorded an “AV”® rating from Martindale-Hubbell, for legal ability and professional ethics. Our firm has also been named to The Bar Register of Preeminent Lawyers by Martindale-Hubbell.
The unique blend of the talent of its founders is reflected by the approach of Pryor & Mandelup to the law today. Because the firm has concentrations in both bankruptcy and also in litigation, we specially craft solutions to business and individual problems in a way that cannot be achieved by a firm concentrating in only one area or the other area.
Pryor & Mandelup is a preeminent bankruptcy and litigation law firm, and has established itself in the legal community where we use our specialized knowledge and extensive practical legal experience, along with our very personalized service.
At our firm, we commonly represent clients in workouts, reorganizations and liquidations, creditors’ rights disputes, distressed business transactions, and general commercial litigation matters. This practice includes areas of corporate, contract, and real estate law too.
Amendment To Small Business Investment Act To Assist Small Businesses Affected By COVID-19 pandemic marks a significant step to begin to address the state of small businesses and their economic fallout from this public health crisis with the bill Coronavirus Aid, Relief and Economic Security Act (CARES Act).
The following excerpt from the “COVID-19 Stimulus Package Temporarily Expands Availability of Small Business Reorganization Act” article examines this in detail:
Among many other important provisions, the CARES Act promises to provide greater access to bankruptcy relief for small businesses. Specifically, Section 1113 of the CARES Act amends the Small Business Reorganization Act of 2019 (SBRA) to make the provisions of new subchapter V of chapter 11 of the Bankruptcy Code available to small business debtors carrying debt of up to $7.5 million. This is an increase from the previous debt limit of $2,725,625 and will make subchapter V an available option for many additional business debtors. This new eligibility criterion will lapse after one year when the debt limit will return to $2,725,625.
The SBRA only became effective on February 19, 2020, and so there are currently very few examples of companies that have invoked its provisions. But there is reason to think that it will prove to be an important tool to allow smaller businesses to use chapter 11 to successfully restructure their businesses and emerge newly viable, and so it is encouraging that Congress largely heeded the recommendation of the National Bankruptcy Conference to widen the SBRA’s eligibility criteria.
In particular, the SBRA adapts the features of traditional chapter 11 reorganization proceedings in ways that will ensure that the process is quicker, less expensive, and more tailored to the needs of smaller businesses. By opting into subchapter V, created by the SBRA, a small business that is well prepared for the process can embark upon a fast track to reorganization. The key benchmarks in the reorganization timeline include 60 days from the filing of a bankruptcy petition to a status conference with the Bankruptcy Court (with an outline of a plan of reorganization due 14 days before the initial court conference) and 90 days to the filing of a plan of reorganization. Under subchapter V, no disclosure statement is required for the plan of reorganization, which will further reduce the time and expense of the process. Subchapter V debtors also are exempt from paying quarterly U.S. Trustee fees.
Reorganizations under subchapter V are likely to be more straightforward and less litigious than traditional chapter 11 proceedings. There are no creditors committees in a subchapter V proceeding, which is a significant cost saving for small business debtors and also minimizes the likelihood of disputes between business owners and creditors.
Most importantly, subchapter V dramatically alters the criteria for securing approval of a plan of reorganization in ways that allow the business owner to retain control of the business and minimize the risk of creditors derailing the reorganization process. Subchapter V does away with the Absolute Priority Rule, which imposes a strict hierarchy for the payment of creditors, and instead allows the business’ equity owner greater flexibility in retaining control of the business, so long as the plan of reorganization is “fair and equitable” and “does not discriminate unfairly.” Except in cases where the business is sold, unsecured creditors are entitled only to a pro rata share of the business’ disposable income over a three-year or five-year period, depending on the terms of the reorganization plan. [The National Law Review ]