Search Results for: PROCEEDS

value date

value date. The date when the proceeds of a bill of exchange (e.g., a check) or of a foreign-exchange transaction (e.g., a sale of dollars for euros) become available for use. — Also termed here and there.

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bulk sale

bulk sale. A sale of a large quantity of inventory outside the ordinary course of the seller’s business. • Bulk sales are regulated by Article 6 of the UCC, which is designed to prevent sellers from defrauding unsecured creditors by making these sales and then dissipating the sale proceeds. — Also termed bulk transfer. [Cases:

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recharacterization

recharacterization. A court’s determination that an insider’s loan to an entity in liquidation (such as a corporation or partnership) should be treated as a capital contribution, not as a loan, thereby entitling the insider to only part of the liquidation proceeds payable after all the business’s debts have been discharged. • Factors influencing this determination

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