Acquisition of a bankrupt estate
At Sundgaard, we have extensive experience with all aspects of insolvency, bankruptcy and financial distress. We are qualified to help you or your business manage any financial challenges.
If you are acquiring assets from a bankruptcy estate, you often have limited time for due diligence. This is particularly the case if the business is transferred as a whole going concern. In that case, a transfer must generally take place within the first 14 days after the company was placed under bankruptcy proceedings, and in practice often even sooner, as the trustee rarely has the liquidity to keep operations going.
There are many pitfalls when buying bankruptcy estates. Particular attention must be paid to the employees and their rights as transferred personal. It can be expensive if you are not careful.
At Sundgaard, we assist both buyers, other trustees (with second opinions) and employees or other contractual parties in these purchases/transfers.