Legal Question in Bankruptcy in New Jersey

Preferential payments

If I received a letter to pay back preferential payments can I avoid paying back the payments by sending proof that the customer never paid within invoice terms?


Asked on 5/09/07, 2:39 pm

1 Answer from Attorneys

Stephen Starr Starr & Starr, PLLC

Re: Preferential payments

Consistent payment by a debtor outside of the invoice terms may establish an "ordinary course of business" defense.

Check out the Frequently Asked Questions (FAQs) on our website at www.starrandstarr.com/faqs.htm

for more info. regarding bankruptcy preference and avoidance actions.

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Good luck with your legal matter.

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Answered on 5/09/07, 2:52 pm


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