David Conaway’s article, “When Worlds Collide: Article 2 of the Uniform Commercial Code and Chapter 11” was the lead article in the American Bankruptcy Institute’s Unsecured Trade Creditors Newsletter, July 2016.
The purpose of a sales contract is to define the parties’ obligations and to optimize outcome if a dispute arises. As such, a contract is a tool to manage risk and prevent loss. The good news is the vast majority of contracts are performed as planned, and no issues arise. The bad news is when issues arise, they can be costly, eroding or eliminating the anticipated profits, or causing loss from the transactions. Continue reading