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Legal Events Chapter

The Legal Events chapter displays all past and present legal activities D&B has on file for a company. Legal Event types include Insolvencies, Bankruptcies, Judgments, Liens, Suits, Secured Filings, Financing Events, Asset Liquidations, Mergers & Scissions, and Public Notices.

Legal Events Types

Insolvency

Insolvency occurs when a company is unable to pay its debts on time and there is a public filing in response.

Bankruptcy

Bankruptcy is a proceeding under the U.S. Bankruptcy Code for the following scenarios:

  • A debtor files a bankruptcy petition and voluntarily seeks protection from creditors
  • A creditor files a bankruptcy petition against a company debtor to force the debtor to pay monies owed

A chapter 7 proceeding liquidates the assets to pay the debts. All other chapter proceedings attempt to repay creditors without liquidation. A bankruptcy filing may convert from one chapter to another or be dismissed by the court if the bankruptcy filing is deemed invalid.

Judgement

A judgement is the final decision of a court resolving a dispute and determining the rights and obligations of the parties. A judgement can be initiated through a lawsuit. Judgement satisfaction occurs when the rights of the prevailing parties have been restored and any obligations have been paid. Judgements display information such as filing date, filing number, and cause.

Lien

A lien is a claim a creditor holds against specific property of a debtor as security for satisfaction of a debt. A lien can be filed in any jurisdiction where the debtor owns property. A lien displays information such as filing date, status, and assignor.

Suit

A suit is a proceeding filed by a plaintiff against a defendant in a court of law, in which the plaintiff seeks monetary or non-monetary relief. Suits display information such as original filing date, plaintiff, and defendant.

UCC Filing

A UCC (Uniform Commercial Code) Filing is a legal document creditors use to secure their rights to collateral specified in a secured financing agreement. This document gives the creditor a legally recognized interest in the collateral until payment is received in full. It also provides legal title to these assets in the event a debtor suffers financial hardship and is unable to meet its promise to pay. A UCC is the US equivalent of a PPSA Filing.

Personal Property Security Act

The Personal Property Security Act is a statute used in Canadian provinces to regulate the taking and enforcement of security in financing agreements. A PPSA Filing is the Canadian equivalent of a UCC Filing.

Financing Event

A financing event is a public filing of a funding arrangement between two or more parties.

Mergers & Scission

A merger and scission is a company structure change which indicates a company has combined with other companies or has split into multiple companies.

Asset Liquidation

Asset liquidation is the sale of real estate, equipment, or other tangible assets, to raise cash for the company or to dispose of assets that are not needed.

Public Notices

A public notice is an announcement through the Federal or a provincial Gazette of a structural change to a company (e.g., Amalgamation, Incorporation).