EBC I, Inc. v. America Online, Inc. (In Re EEC I, Inc.)

How courts have described this case

Verbatim parenthetical descriptions written by other courts when citing this decision. Ranked by citation-network relevance.

• holding debtor was solvent where it was able to obtain a $40 million line of credit
• recounting that the court previously concluded that there was a genuine issue of material fact on the question of debtor’s financial condition and discussing expert testimony at trial
• explaining that the debtor bears the “burden of proving that it lost anything of value” from the transaction and that the bankruptcy court “must determine the net effect of the transaction on the debtor”
• “[A] business does not have to be thriving in order to receive a going concern valuation.”
• “A business does not have to be thriving in order’to receive a going concern valuation. Before the going concern valuation is to be abandoned, the business must be ‘wholly inoperative, defunct or dead on its feet.’ ”
• “The ‘inability to pay debts’ prong of section 548 is met if it can be shown that the debtor made the transfer or incurred an obligation contemporaneous with an intent or belief that subsequent creditors likely would not be paid as their claims matured.”

Source: CourtListener parenthetical corpus (CC0).