At its recently concluded annual meeting, the Uniform Law Commission (ULC) voted final approval of the Uniform Assignment for Benefit of Creditors Act (“Act”).
Set forth below is a short discussion of “ABCs” as they currently exist, the ULC’s effort to bring uniformity to ABCs going forward and next steps to reform the law governing this common non-bankruptcy alternative for dealing with distressed companies.
ABCs
In the United States, there are several types of legal proceedings that can be invoked to address an insolvency situation. The most well-known procedure is ... Continue Reading
Our previous report on the Chapter 11 case of 23andMe discussed the Sale Order entered by the Bankruptcy Court on June 27, which approved the proposed sale of substantially all of the assets of the company. We noted that given “the numerous objections to the sale process it will be interesting to observe whether any party seeks and obtains a stay.”
Just days after that update, the State of California sought to stay entry of the Sale Order at least as far as made applicable to the residents of California.
The Bankruptcy Court held a hearing on the request on July 7, 2025. At that hearing ... Continue Reading