On January 8, 2018, Senators John Cornyn (R-TX) and Elizabeth Warren (D-MA) introduced a bill (S. 2282) that would rebalance how Chapter 11 bankruptcy cases are distributed throughout the country.  Essentially, the revised statute would eliminate the state of incorporation for commencing a bankruptcy case and require corporate debtors to file where they have a principal place of business or principal assets are located.  In addition, the related affiliate filing option has been greatly reduced.  Cooper, White & Cooper LLP’s Peter Califano has been actively working on this issue with the Commercial Law League of America, along with various judges, professors and other lawyers throughout the country since 2011, at which time he testified before a House panel on the matter. A copy of S. 2282 is available at www.congress.gov.

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