Successful Collection Action After Debtor Liquidated

01/11/2018

Alex Beeby successfully obtained a new, non-dischargeable agreement to pay a debt after a corporate debtor liquidated. Our client received a notice that a company with which it had a settlement agreement was liquidating and would not be paying any more on the agreement. Alex obtained a judgment under the settlement agreement and pursued post-judgment collection. After discovery into the matter, Alex brought garnishment and fraudulent transfer actions against the debtor’s owner and his various other companies. Alex successfully obtained a new settlement agreement in which the owner agreed to personal and joint liability with his other companies for the debt — including a stipulation to the non-dischargeability of the debt in bankruptcy and an up-front payment for 25 percent of the debt.