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Payment to Surety Not ‘Preference’ (access required)

A $1.375 million transfer by debtor, an environmental engineering firm, to a Miller Act surety within 90 days of debtor’s bankruptcy filing was not an avoidable preference under 11 U.S.C. § 547(b), and the 4th Circuit affirms summary judgment for the insurance company in this suit filed by the bankruptcy trustee. The trustee filed an adversarial ...

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