Legal Question in Bankruptcy in Oregon

Corporate vail

We have a bankrupt customer who is walking away from all of the trade credits. But we know he had rapidly paid down the loan on equipments earlier in year 2008 using company's money. And he sold all equipments to a company who is now working with now in the same locations. How could it be that he conducted businesses as usual but just don't pay us. There is no court paper for us as they said it's informal bankruptcy. They only send us an internal letter saying they have no asset to pay all vendors. If we suspect a business fraud, where can we get help to investigate?


Asked on 1/22/09, 2:14 pm

1 Answer from Attorneys
Sam Calvert Calvert Law Office

Re: Corporate vail

I don't know what an "informal bankruptcy" is -- probably what they mean is that they don't intend to actually file bankruptcy, just close up.

You should consult an attorney there in Oregon (somehow this got posted to the Minnesota list) to talk about filing an involutary bankruptcy and/or commencing a fraudulent conveyance suit under state law. There is some (remote) possibility that the contractor may have violated criminal law by not using money paid by the homeowner to pay for bills for that project. Also, you may have a mechanics lien rights.

You should consult an attorney near you promptly, as the passage of time may adversely affect your possible remedies.

Good luck.

Read more
Answered on 1/23/09, 1:53 pm


Related Questions & Answers

More Bankruptcy Law questions and answers in Oregon