potential preferential payment

July 22nd, 2008 by Questions

my question relates to documents I received from the Superior Court District of Montreal stating we received payments from a company at a time this company was considered insolvent.
We were not aware of the companies situation at time of payment. we were paid 425K out of 855K owed. they filed bankruptcy owing me $430K.
the Court wants me to return what they consider preferential payments.
how does that work ?

Posted from: Quebec

Questions

One Response to “potential preferential payment”


July 23, 2008 at 10:18 am, Barton Goth - Goth & Company Inc. - Bankruptcy Trustees said:

You are going to need to consult with an insolvency lawyer on this one. There is a very specific definition of what constitutes a preferential payment that will be based on many of the specifics of your situation and without that information it is impossible to advise what your best course of action will be.

Please post a follow up comment below:

(Note: comments are reviewed by moderators and then posted after approval. In addition, due to high volume some of the comments might not be posted.)