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<a href="http://www.accessmylibrary.com/coms2/summary_0286-10163109_ITM" title="Facts and information about Reclamation Claims: The Bankruptcy Time Periods for Reclamation Demands Take Precedence Over Longer State Law Period.">Reclamation Claims: The Bankruptcy Time Periods for Reclamation Demands Take Precedence Over Longer State Law Period.</a>
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Reclamation Claims: The Bankruptcy Time Periods for Reclamation Demands Take Precedence Over Longer State Law Period.
Under state law, a trade creditor is granted the right to reclaim goods that it had recently sold and delivered to an insolvent buyer. A trade creditor's reclamation rights continue even when the buyer files for bankruptcy. If the creditor satisfies all of the requirements for reclamation, it may realize a greater recovery on its claim than it would otherwise receive if its claim were treated as a lower priority pre-petition general unsecured claim in the buyer's bankruptcy case.
A rarely litigated reclamation issue is whether the Bankruptcy Code's short ten-or twenty-day time periods within which a trade creditor must make a reclamation demand can ever be ...
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