Bankruptcy Law Blog

28 Jul
The Meaning of Suspect Transactions Bankruptcy law works with the assumption that debtor asset is insufficient to meet the demands of creditors. In principle, a solvent debtor has every right to effect payments to any of his creditors since in this case there is no race to court room problem. Thus, to understand suspect transactions, it is necessary to define what insolvency means and when do we say the person is insolvent? Simply, insolvency is inability to pay the debt when they become due and…