35

A company does not cease to exist simply because it goes bankrupt. The company may wind down its operations, but it may just go through a process of restructuring its debts. If the company is merely restructuring, the bankruptcy would not probably not have much effect on its ownership of intellectual property such as copyright and trademark rights. So it ...


22

A bankrupt company's assets are transferred to its creditors. This includes intangible assets such as trademarks, copyrights, and other intellectual property. Whoever ends up with the rights to the game can continue to market and distribute it, or use legal means to prevent others from doing so.


19

When a company is under court-supervised protection against creditors (bankruptcy), you can't just do stuff like closing stores, as you might if you were operating free and clear. Here is an overview of Canadian bankruptcy law. It basically comes down to the fact that they sought protection by the government against their creditors, and if you do that, the ...


13

The copyrights do not disappear just because the owner ceased to exist. That applies to both companies and people. As an asset, the copyright is part of the estate of the entity and will be either transmitted to the heirs, remain in the estate, or go to the buyer of the assets. As @MSalters pointed out, assets that are not sold will belong to the owners of ...


9

Your lease is with the LLC in bankruptcy - you should not be paying rent to anyone else. Unless and until the lease is transferred to someone else (in accordance with the terms of the lease or with your agreement) it will remain with the LLC. Contact the bankruptcy trustee to see how they intend to proceed. Providing the LLC keeps fulfilling its obligations ...


5

Despite the fact that bankruptcy is controlled by federal law, there are a variety of exemptions to property and holdings that DO differ from state to state and can significantly impact your bankruptcy. These (state) exemptions are oftentimes more beneficial than the standard exemptions available federally. There are also cases where the federal exemption is ...


5

The LLC is your landlord. The person who owns the LLC may be doing any number of things, some of which have dubious legality. However, none of them are related to your lease agreement, which is with an LLC, which is now under the management of an official assignee. Until such time as the actual landlord, the LLC under control of the official assignee, ...


4

I'm assuming you're talking about U.S. federal bankruptcy law (Title 11). Once bankruptcy is declared, any claims against the debtor are subject to the bankruptcy laws, and any claims against the debtor in any other court are automatically stayed under 11 USC 362. That means if you bring an action against the debtor for conversion, a court will not hear it,...


4

Whoever buys it. When a company declares bankruptcy then its assets are owned by its creditors, as compensation for the standing debts. Since usually there are multiple creditors, what happens is that its assets are sold/auctioned, as money is easier to divide between the different creditors1. A logo or a trademark is an asset like any other and can be ...


4

If such a case came to court, the court would presumably rule that merely publishing the advertising could not be considered to be doing something "commercial". (Otherwise the contract would be absurd, as the question points out.) The court would therefore define "commercial" as some act beyond merely displaying the advertising -- perhaps charging for the ...


4

When does a CEO (or the investor or the board) have to notify employees they will be unable to pay them for work already done? Directors and officers (which includes executive officers like the CEO) but not investors have a duty to ensure that the corporation does not trade while insolvent. In this context, "trading" means incurring new debts and "insolvent"...


3

What you have heard is not exactly correct (and also depends, in part, on the Chapter under which the bankruptcy is filed). I will address the simplest case, a Chapter 7 liquidation of an individual, which is simpler, because a Chapter 7 liquidation is determined as of a point of time, while Chapter 11 and Chapter 13 reorganizations are conceptually more ...


3

Usually I would think one answer to a question is enough. But since your edits have transformed a reasonable procedural question into what appears to be a rant about unfairness of the sort which any bankruptcy court has heard hundreds of times before, I will give another piece of advice: Focus on one thing at a time. The judge at the hearing of the ...


3

Ultimately, if they force you into bankruptcy, everything, except: tools of your trade household items (clothing, furniture), however, if these are worth significantly more than a replacement then they can be sold and you get given a replacement. Short of this they can: garnishee bank accounts garnishee wages and other income seize and sell personal ...


3

As in most of the world, there is a BIG difference between a person running a business and a person owning a company which runs a business. In the first case, the person is liable for all the debts of the business, in the second case, providing they have fulfilled the legal duties as am owner/director (as applicable) they are not liable for the debts of ...


3

This sort of thing can get muddy and turns on specifics like the form of the investment, and whether it was in a business entity controlled by Mr. X, and then embezzled by Mr. X in transferring the money to his brother (thus potentially recoverable by the investor in an action against the company through tracing despite the personal bankruptcy); or invested ...


3

Yes, the second home will be part of the New York bankruptcy estate. Congress broadly defined property within the bankruptcy estate as all property, "wherever located and by whomever held," subject to limited exemptions. Florida's homestead exemption is among the broadest in the Unite dStates; the value of the property that can be protected is unlimited. ...


3

Bankruptcy Law is Federal Law. This means as a practical matter that your bankruptcy will be conducted according to Federal bankruptcy statutes and case law. However, various aspects of a bankruptcy case may depend upon State Law questions, and as to those issues State Law will apply.


3

When an entity goes bankrupt, its affairs are subject to detailed court supervision and creditors rights with respect to the bankrupt entity are severely limited by an "automatic stay" that funnels all disputes between creditors and the entity to bankruptcy court. This process, in the case of a medium to large sized business, is very expensive. If lots of ...


3

Some portions of your inquiry are confusing, as in "I insisted that we were going to continue to send money to the mortgage company if we don’t understand what the fees are for". It is unclear why you would continue to send money without understanding the reason for fees, especially since you purportedly sent "the complete payoff" already. What is an ...


3

Do I have rights to the loan as an asset of the company? You, no. It’s an asset of the company and,as such, will be liquidated by the liquidator for the benefit of the creditors of the company. Only if all creditors are paid in full will a dividend by paid to shareholders- this virtually never happens. The loan contract is still valid and the borrower ...


2

In the UK, you can only stop a running company if you do no business whatsoever for some time; details will be on the Company House website but I'm quite sure it is for more than a year. No business whatsoever. That means for example that you can't pay a bill to a hosting company for hosting your blog. Someone (for example the company owner privately) ...


2

There is no prohibition against claiming funds that you are legally entitled to, even if you have gone through Chapter 7 bankruptcy. You can get general information on unclaimed funds here. You may be interested in this, which points out that you can either avail yourself of the services offered to you, or you can search the state database for an account ...


2

There are 4 types of "insolvency" in Australia, three apply to incorporated entities and the last, bankruptcy, only to individuals. Receivership A receiver is appointed by a secured creditor, usually a bank, under the terms of the loan. Their job is to manage the company in the interests of the person that appointed them. Administration An administrator is ...


2

My understanding (IANAL, but was told some of this by a lawyer) is that (at least in England) unclaimed assets after a liquidation vest in the state as bona vacantia and intellectual property that the liquidator can't sell (not unusual) is included in this. I see the UK government now has a department that deals with this and will consider offers for such ...


2

The answer to this question is a function of local rules adopted by the U.S. Bankruptcy Court for the district where the action is pending. Those rules are not uniform. Usually, the answer would be no. The federal courts have been reluctant to allow "limited representations" relative to the state courts.


2

According to the US Courts website, not all debts need to be paid in full in Chapter 13 proceedings: The plan need not pay unsecured claims in full as long it provides that the debtor will pay all projected "disposable income" over an "applicable commitment period," and as long as unsecured creditors receive at least as much under the plan as they ...


2

They can terminate the "Project" (presumably defined elsewhere) if the client blah, blah, blah, however, they must still pay you for the work you did prior to them terminating the Project (if, in fact, they have terminated it - they have the right but they still have to exercise it). Hire a lawyer.


2

Normally, the trustee in bankruptcy (called 'she' here for simplicity) has control of all assets in the bankrupt's estate, including the bankrupt's house. However, unlike most assets, she cannot simply sell the house; as mentioned in the section you refer to, she can apply to the court for sale or possession of it, any time up to three years from the date of ...


2

Death of a principal terminates every power of attorney (some curative statutes allow a power of attorney to have effect until the death is discovered by the agent to make it safer for people to rely upon agents). Obviously, dead people can't act as agents, and less obviously, a person's estate does not as a default matter assume a dead person's agency ...


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