4 ms·
It depends, if the companies were split with the knowledge that one would go into bankruptcy, the judge could find there was a fraudulent conveyance of assets.
by stox 12y ago
It depends, if the companies were split with the knowledge that one would go into bankruptcy, the judge could find there was a fraudulent conveyance of assets. This would invalidate the split, and allow access to the assets of the surviving entity by the creditors.