Collateral, SBA Loans and Chapter 7 Intersection

Post Reply
Yahoo Bot
Posts: 22904
Joined: Sun Oct 18, 2020 11:38 pm


Client is holding a few thousand dollars worth of various music products secured by an SBA loan through a local bank. The inventory was noted on the petition, and we have had a few phone calls with bank...but bank is not responding with offer to repurchase equipment or to pick-up. Debtor no longer wants to pay for shed to store product. Is there some abandonment issues that interplay if bank fails to collect? Is a demand letter to collect or abandon with minimum time frame appropriate?
Thanks,
Stephen Stern, Esq.

The post was migrated from Yahoo.
Post Reply