Courts Grapple With Bankrupt Companies’ Loan Access – Bloomberg Law
Andrew Helman was quoted this week in an article from Bloomberg Law: “Courts Grapple With Bankrupt Companies’ Loan Access.”
Whether or not bankruptcy courts will require the SBA to consider a company’s loan application has been pegged to how the judge reads section 525(a) of the bankruptcy code. That provision bans governments from denying a license, permit, charter, franchise, or other similar grant because the applicant is or was a debtor in bankruptcy.
“You can’t except bankruptcy debtors from accessing programs that are unique to the government, like the PPP,” said Andrew Helman of Murray Plumb & Murray. Helman represents bankrupt hospitals in Maine and Vermont that sued the SBA to require consideration of their PPP applications.
The full article can be read online at bloomberglaw.com.