The bankruptcy of Rite Aid Corporation and its debtor affiliates in the District of New Jersey (Case No. 23-18993 (MBK)) has triggered an extensive wave of preference-adversary lawsuits under §547 of the Bankruptcy Code.
If your company is a trade creditor, vendor, supplier or other contract counterparty that did business with the Rite Aid debtors prior to the petition date, you may now face a claim that certain payments you received constituted “preferential transfers” and/or “fraudulent transfers” under sections 547 and 548 of the Bankruptcy Code that must be disgorged or defended.
Kasen Law Group’s Extensive Experience Defending Preference Cases of All Sizes
At Kasen Law Group, we regularly defend preference and fraudulent transfer adversary cases of all sizes. We understand the strategic, procedural and financial issues unique to vendor and creditor litigation arising from major corporate restructurings—and we bring that depth of experience to creditors now facing preference and fraudulent transfer lawsuits in the Rite Aid Corporation bankruptcy case.
At Kasen Law Group we provide full-service support for creditors in Rite Aid preference-adversary matters, including:
- Early assessment and case-review: reviewing the complaint, transaction history, your pre-petition dealings with the debtor, and developing a tailored defense strategy.
- Literature review and legal‐analysis: identifying potential defenses such as ordinary course of business, new value, subsequent transfers, timing of payments, and contemporaneous exchange.
- Procedural defense: managing required discovery, complying with adversary-proceeding deadlines, and minimizing cost exposure.
- Settlement advisement: weighing settlement vs. litigation, preparing cost-benefit analyses, and negotiating with plaintiffs’ counsel when appropriate.
- Coordination with your team: working seamlessly with your accounting, finance, compliance and vendor-management groups to uncover facts and document your position.
- Post-resolution planning: advising on release language, proof of claim filings (if applicable), and internal controls to mitigate future risk.
Why select Kasen Law Group
- Specialized knowledge: We focus on creditor-side preference defense in Chapter 11 restructurings, capturing learnings across major debtor-litigation matters like Rite Aid.
- Proven track record: Our team has defended vendors in high-volume preference proceedings, achieving favorable outcomes while controlling cost exposure.
- Tailored strategies: We craft defense plans aligned with your size and risk-profile — from mid-sized vendors to large multi-state suppliers.
- Transparent process & cost-control: We provide regular status updates — helping you decide when settlement may be a better path.
- Business-minded counsel: We understand your vendor operations, credit terms, supplier relationships and how litigation affects your business
Call Us Today for a Free Consultation – 302-652-3300
If your business provided goods or services to Rite Aid, or one of its debtor affiliates, and you’ve received a notice, complaint or simply suspect you may be targeted in a preference-adversary action in Case 23-18993 (MBK), you should act quickly. Time is of the essence in Chapter 11 adversary litigations like the Rite Aid matter. The earlier you engage counsel, the stronger your options.