Preference Lawsuit in Minnesota

If you have been sued by a Minnesota bankruptcy trustee you are not alone. It is common for trustees to send out demand letters and lawsuits regarding bankruptcy preference actions. These types of actions are fairly common and mean the trustee thinks that you have received money from an insolvent debtor before a bankruptcy was filed. You may have defenses available to you and you should consult with our office before you decide how to proceed. If you have been sued it is important to remember that you have a limited amount of time to answer the complaint. In some cases settling with the bankruptcy trustee may be your best option, but in other cases you may have a valid defense to the preference suit, and may want to defend the action in front of the Minnesota Bankruptcy Court.