What is a contemporaneous exchange for new value?
Contemporaneous exchange for new value is a statutory defense available to a creditor facing a preference action filed by a trustee of a bankruptcy estate (or a debtor in possession) to recover payments made by the debtor to a creditor prior to the filing of the bankruptcy petition.
What is a contemporaneous transaction?
Contemporaneous exchange is when products, goods or services are provided to a debtor in exchange for payment from the debtor for those services. Instead of invoicing the debtor for a COD or CIA transaction, the invoice reads normal credit terms (i.e., net 30, etc.).
What is an antecedent debt?
antecedent debt. An antecedent debt is created when a creditor receives a right to. payment from the debtor for goods or services.12 Section 547(b)(2) of the. Bankruptcy Code requires that the party who is alleged to have received a preference. must have been owed a “debt” by the debtor, and the debtor must have owed …
What is voidable preference?
An unfair preference (or “voidable preference”) is a legal term arising in bankruptcy law where a person or company transfers assets or pays a debt to a creditor shortly before going into bankruptcy, that payment or transfer can be set aside on the application of the liquidator or trustee in bankruptcy as an unfair …
What are contemporaneous documents?
Particularly contemporaneous documents – documents that are created at the time that events occur. Quality control reports, daily logs, and timely letters all fall into the “contemporaneous” category.
What is contemporaneous pricing?
Normally, tax administrations also accept transfer pricing documentation as “contemporaneous” when it has been prepared not later than the filing due date of the tax return for the financial year in which the intercompany transaction took place.
What do you mean by an antecedent or pre existing debt constitutes value?
An antecedent or pre-existing debt, whether for money or not, constitutes value where an instrument is taken either in satis- faction therefor or as security therefor, and is deemed such whether the instrument is payable on demand or at a future time.”
What is pious obligation?
‘Pious obligation’ means the moral liability of sons to pay off or discharge their father’s non-avyavaharik debts. The ancient doctrine of pious obligation was governed by Smriti law. There is a pious obligation on the sons and grandsons to pay the debts contracted by the father and grandfather.
What is undue preference Malaysia?
The law on unfair preference aims to protect creditors from company which is insolvent from dissipating its assets to another creditor and thus giving such creditor an unfair preference over the other creditors. …
What are collusive dealings?
Collusive dealings before sequestration These rules apply to a debtor who, in collusion with another person, disposes of property belonging to him in a manner which has the ultimate result of disadvantaging his creditors or preferring one of his creditors above another.
What is included in contemporaneous notes?
Contemporaneous notes are documentary evidence of what you did, said, observed, or were told. These are produced by you during the course of your work. They should be written as close as practical to the event.