May 14, 2020
Repossession RightsRepossessing the Spirit of St. Louis: Expanding the Protection of Sections 1110 and 1168 of the Bankruptcy Code
Louis B. Goldman, Michael J. Album, and Mark S. Ward, 41(1): 29–55 (Nov. 1985)
This Article examines sections 1110 and 1168 of the Bankruptcy Code, which create preferred repossession rights for certain lenders to the transportation industry. The class of lenders benefitted by the statutes is unclear; on their face the statutes appear to apply to a large class of lenders, but the legislative history suggests that Congress intended to benefit only those lenders who finance the acquisition of equipment. The authors conclude that the legislative intent probably would prevail and discuss certain refinancing arrangements that would qualify for protection under the statutes.