Bankruptcy Remote Entities: What Not To Do

Case Commentary: CRM Collateral II, Inc. v . Tricounty Metro. Trans., 2012 WL 164537 (9th Cir. 2012). Of the many pitfalls to creating a bankruptcy remote entity, failing to make the entity actually bankruptcy remote is the most basic and the greatest.  The purpose of a bankruptcy remote entity (“BRE”) is to segregate risk, in the event that the principal … Continue reading »