Preference Litigation Defense

Defending Creditors in Preference Litigation

Any debts paid by a debtor within 90 days of filing bankruptcy may be the basis of preference litigation. If your business received payment from a debtor, who then files for bankruptcy, you may be named as a party in a lawsuit. At Robinson, Diamant & Wolkowitz, our team of attorneys has the experience necessary to represent your interests during preference litigation.

For over 40 years, our law firm has been finding creative and cost-effective solutions for creditors trying to recover debts in bankruptcy cases. Our team of attorneys works to find solutions to disputes involving creditors who are involved in a lawsuit after collecting the debts of a debtor who files for bankruptcy.

Defenses in Preference Litigation

There are a number of defenses available to a creditor who accepted a payment from a debtor who later filed for bankruptcy. Some of those include:

• The payment was made in the ordinary course of business.
• New services or products were provided by the creditor in exchange for the new payment.

It Is Important To Know That You Did Nothing Wrong

To be a party in preference litigation, it is important to know that you have done nothing wrong when accepting payments for monies owed to you. While it may seem unfair that you are named in litigation, you have not broken any laws. It is important to speak to an experienced attorney who is able to explain the available options to contest voidable debt action.

To learn more about defending yourself in preference litigation, call 310-277-7400 or e-mail a lawyer at the law office of Robinson, Diamant & Wolkowitz in Los Angeles.