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Setoffs And Bankruptcy

By Bob Eisenbach on July 31, 2006
Posted in Business Bankruptcy Issues, The Financially Troubled Company

Many businesses not only sell products or services to another company, they also buy products and services from that company.  If you do business with a customer or vendor and you each end up owing the other money, you may have the right to "set off" the amount the other company owes you against the amount…

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We all know that when a business files bankruptcy, the impact on vendors, customers, and others can be immediate and disruptive.  The In The (Red)® blog was launched in the summer of 2006 as a way for CEOs, CFOs, boards of directors, credit professionals, in-house counsel and others to stay informed about important business bankruptcy issues and developments.

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