Freeze! Lapsed Financing Statement May Not Be Fatal in Bankruptcy

By James Billingsley and Drew S. McGehrin

A lapsed financing statement may not extinguish a creditor’s secured position in a bankruptcy case, according to the recent decision Utah Bankruptcy Court styled Thomson v. Short (In re Short). Secured lenders are nevertheless well advised to monitor and timely file continuation statements under any circumstances, especially in the case of a borrower bankruptcy.

Read the full story on the Duane Morris LLP website.

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