Wraparound Lease Financing of Personal Property
Frederick R.H. Witherby, Jr., Stephen T. Whelan, James R. Shorter, Jr., Peter V. Fazio, Jr., Peter B. Trumbull, and David E. Sturgess, 41(3): 747–72 (May 1986)
The Article concludes that properly documented and economically justified wraparound lease financing should be upheld under federal income tax law and state law. Federal income tax analysis, including the installment-sale provisions of the Internal Revenue Code of 1954, is emphasized, as are the requirement of a bona fide profit motive and the existence of a depreciable present interest in leased property. The authors suggest that aggressively applied, indirectly related provisions of the federal income tax law are partially responsible for the negative image of wraparound lease financing.
Section 363 Sales Free and Clear of Interests: Why the Seventh Circuit Erred in Precision Industries v. Qualitech Steel
Michael St. Patrick Baxter, 59(2): 475–501 (Feb. 2004)
Rarely does a bankruptcy case have the potential to profoundly impact the non-bankruptcy world. In Precision Industries v. Qualitech Steel, the Seventh Circuit allowed a debtor to sell land free and clear of an unexpired ground lease in apparent disregard of the lessee's rights to retain possession of the leased premises. This case will have profound implications on bankruptcy sales, real estate leasing, and real estate lease financing. This Article examines the decision in Precision Industries and its effect on the rights afforded to lessees by § 365(h) of the Bankruptcy Code. The author contends that the case is wrongly decided. The author discusses some of the practical problems created by Precision Industries and suggests some strategies that can be employed to avoid its perils.
Framework for Control over Electronic Chattel PaperÂ-Compliance with UCC § 9–105
Working Group on Transferability of Electronic Financial Assets, a Joint Working Group of the committee on Cyberspace Law and the committee on the Uniform Commercial Code of the ABA Section of Business Law and The Open Group Security Forum, 61(2):721—744 (February 2006)