CLLA
members blanketed Capital Hill on February 27, 2017 to pursue their legislative
agenda with House and Senate staffers. Members hailed from states across
the country, including California, Georgia, Iowa, Massachusetts, Michigan, Ohio
and Texas. The league advanced proposals to reform the bankruptcy
venue and preference law. Links to the league's legislative
positions can be found here and here.
On venue, the CLLA
would like to eliminate state of incorporation venue and limit affiliate filing
to cases where lower tier entities file with parent company instead of allowing
the venue for one minor subsidiary to set venue for the entire group of
companies.
The
CLLA offered a package of three preference reforms: requiring a meet and
confer before filing suit, requiring that cases under $50,000 be filed in the
defendant's forum and allowing payments under settlement agreements to fall
within the ordinary course of business defense.