Shareholder Lindsay Milne Quoted About Subchapter V Being an Antidote for Distressed Small Businesses in a High Interest Rate Environment

Bernstein Shur Business Restructuring & Insolvency shareholder, Lindsay Zahradka Milne, was quoted in a Law360 article titled “Small Business Ch. 11s Help Drive Rise In Bankruptcies.”

Relying on her significant experience handling complex bankruptcy and restructuring matters, Lindsay identified higher borrowing costs, a tight labor market, and banks’ revived tolerance for pursuing remedies as economic indicators that point toward an increased need for financial and operational restructuring, especially for small businesses.

Citing Congress’s “correct[ion to] the structural issue of the expensive nature of a bankruptcy filing,” Lindsay explained that the relatively new “Subchapter V” of the Bankruptcy Code can provide just the relief that businesses with under $7.5 million in liabilities require, especially in this economic market.

“[This past year was] finally the point where practitioners became comfortable with the concept [of Subchapter V] and didn’t think that it was relegated to simply itty-bitty businesses.”

Read the full article here.