Bernstein Law Firm Quarterly

In this quarterly issue of Bernstein Law Firm's client advisory, our attorneys keep you current on a number of issues vital to the health of many businesses; this issue focusing on the new transfer tax ruling in Chapter 11 Bankruptcy, Confessions of Judgment under PA law and Consignments under revised Article 9 of the Uniform Commercial Code.  We encourage you to share these advisories with others who might benefit from the information.

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Shawn P. McClure 
Confession of Judgment Under Pennsylvania Law

As a creditor perhaps there is no greater tool than a valid confession of judgment clause within your written agreement clause with a customer.  Imagine a customer fails to make payment on its commercial credit account.  Now you must decide whether or not to hire an attorney and initiate a lawsuit. However, the last time a lawsuit was filed on one of your accounts, it was months, maybe longer before you received payment. A confession of judgment clause provides that one party agrees to allow the other party to the contract enter judgment against him or her.

Kirk Burkley
Consignments: My How You've Changed!
agency  While lessors are rarely involved directly with inventory financing, there are times when it is important for them to understand the issues surrounding security interests in inventory.  Once in a while, a lessee's inventory may be looked to as additional collateral in certain transactions.  A lessor may also lease/finance goods that become 'inventory' in the hands of the lessee (e.g. an equipment rental lessee). A lessor may place recovered goods with a remarketer "on consignment."  As such, it is important for lessors to understand the treatment of consignments under revised Article 9 of the Uniform Commercial Code (the "UCC"). 


Peter Ashcroft 
Supreme Court Issues Ruling Clarifying Transfer Tax Exemption in Chapter 11
agencyThe recent Supreme Court decision clarifying the bankruptcy transfer tax exemption that allows debtors to avoid paying stamp taxes or similar transfer taxes on assets transferred as part of a confirmed Chapter 11 plan of reorganization.  The Supreme Court struck down a ruling that had stated the transfer tax exemption could be applied to pre-confirmation asset sales. As a result, the use of pre-confirmation Section 363 asset sales by debtors may be restricted.

Robert S. Bernstein Authors Book on Getting Paid

Bob Bernstein, a nationally recognized lawyer and specialist in collection and creditors' rights, has seen the costly effects of credit.  In this seminal book, he provides a solution, The Get P.A.I.D.TM System, that can transform a business by increasing profit, enhancing the relationship with the customer and reducing overall marketing costs. To read more about The Get P.A.I.D.TM System visit:
Mediator Bob Bernstein Helps Settle Major Dispute in 293 Bankruptcy Cases
In December, U.S. Bankruptcy Judge Thomas P. Agresti appointed Robert S. Bernstein as Mediator in the dispute between Countrywide Home Loans and the Chapter 13 Trustee in Pittsburgh.  After months of conferences and discussions facilitated by Bernstein, on July 15, the parties filed a Motion with the Court asking approval of a settlement.


Meet the Members of Bernstein Law Firm 

Every advisory we will be featuring a member of our firm.  You'll be able to get to know a little bit more about who we are!
This advisory we introduce: Linda Boyle 


Also in the News...
Robert S. Bernstein, Charles E. Bobinis and Nicholas D. Krawec were all named 2008 Pennsylvania SuperLawyers by Philadelphia Magazine.
Bernstein Law Firm headquarters are located in downtown Pittsburgh with satellite offices throughout the state.  The firm is a highly regarded and respected firm based in Pennsylvania with a national reach in Bankruptcy and Restructuring and in Creditors' Rights.