Financial Restructuring Attorneys Co-author Chambers article: NORTH CAROLINA: An Introduction to Bankruptcy/Restructuring
Moore & Van Allen (MVA) Co-heads of Financial Restructuring Zach Smith and Steve Gruendel, and Member Hillary Crabtree co-author the Chambers article titled, “NORTH CAROLINA: An Introduction to Bankruptcy/Restructuring.”
For the bankruptcy outlook in North Carolina, we are currently in a holding pattern with a warning that there are storms ahead. Across the country bankruptcy filings have fallen to their lowest level in fifteen years. According to New Generation Research, Inc.'s BankruptcyData.com, there were only 6,691 commercial bankruptcy filings in 2021, compared to 11,375 in 2020. Even though the pandemic has dramatically impacted the retail, tourism and restaurant industries, government stimulus programs have created a safe haven for many companies and individuals. Additionally, the Federal Reserve stimulus programs have provided capital and liquidity both to distressed institutions and financial institutions which allowed parties to restructure commercial obligations by removing covenants and reducing debt load for the near term. Both the CDC eviction moratorium and state programs have assisted tenants stay in place for 2021.
The complete article maybe viewed below.