Navigating the Troubled Waters of Involuntary Bankruptcies

This panel provides a brief, general overview of the mechanics and statutory framework for involuntary bankruptcies, with more in-depth discussions of current hot-button issues, including petitioning creditors’ good faith/bad faith, the conflicting approaches taken by various circuits in determining whether a petitioning creditor’s claim is subject to a bona fide dispute, and the potential legal fees and damage claims petitioning creditors face if their involuntary petition is ultimately dismissed.