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Expert Analysis

When Not To File An Involuntary Bankruptcy Petition

Law360, New York (February 22, 2016, 11:14 AM EST) -- Many a bankruptcy attorney has been approached by an angry client who is owed a large amount from, or has obtained a judgment against, another party, but has been frustrated in efforts to collect and wants to "throw them into bankruptcy." After trying to calm the client down, the attorney will go over the technical requirements for commencing an involuntary bankruptcy case and will undoubtedly carefully explain the financial risks that lie in wait in the event that the putative debtor opposes the bankruptcy and is successful in having it dismissed....

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