In the Press
October 25, 2023

Why Delaware ABCs Are No Longer As Easy As 1-2-3 (Law360)

Companies forced to wind down operations and liquidate their assets often choose a liquidation process known as an assignment for the benefit of creditors, or ABC. An ABC is usually more streamlined, requires fewer, if any, public disclosures and less, if any, court involvement, and is significantly less expensive than other formal liquidation processes such as federal bankruptcy proceedings. However, recent rulings by the Delaware Court of Chancery, a popular forum for ABCs, suggest that ABCs may no longer be as easy as 1-2-3 — at least, not in Delaware. Financial Restructuring partners Barry Bazian and Kizzy Jarashow, and associate Artem Skorostensky explain more in Law 360.