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ABI Journal

547

How the Ordinary Course Defense Works When the Supplier Doesn’t ‘Hound’ for Payment

The ‘average-lateness’ test reveals payments that were not made in the ‘ordinary course.’

Supplier Socked for $3.5 Million in Preferences Although All Bills Were Paid on Time

Hounding a debtor for payment and shortening credit terms defeated an ‘ordinary course’ defense to a preference.