Acquiring Real Estate From a Bankrupt Seller: Legal Issues

Evaluating Acquisition Options and Navigating Complex Bankruptcy Court Procedures

Recording of a 90-minute premium CLE webinar with Q&A

Conducted on Tuesday, July 9, 2013

Recorded event now available

or call 1-800-926-7926
Course Materials

This CLE course will guide real estate counsel through the procedural mechanics and strategic decisions buyers face when purchasing real estate from bankrupt sellers. The panel will describe the statutory requirements, procedures and risks for a section 363 sale and offer strategies to mitigate risks.


Approximately $100 billion in delinquent commercial mortgage loans will mature over the next four years. A substantial portion of the loans will result in bankruptcy sales of the underlying real estate. Bankruptcy sales create both opportunities and risks for the ultimate buyers.

Buyers face a number of strategic decisions when acquiring real estate from bankrupt sellers. An investor may opt to purchase property directly from the seller, or, if the property is worth little or no more than the encumbrance, the buyer may decide to acquire the mortgage in an indirect acquisition.

Counsel advising buyers must understand and fully appreciate the procedural hurdles and potential traps when purchasing real estate from a bankrupt seller.

Listen as our authoritative panel of experienced counsel discusses the statutory requirements, customary procedure and potential risks in a section 363 sale. The panel will suggest acquisition strategies that eliminate such risks while complying with statutory requirements.



  1. Evaluating the bankruptcy options and navigating the processes
    1. Direct and indirect acquisitions
    2. Automatic stay and acquiring property through foreclosure
    3. Acquiring property under a confirmed plan
    4. Acquiring property at a section 363 sale
  2. Due diligence and closing
    1. Title insurance
    2. Transfer taxes


The panel will review these and other key questions:

  • What factors should buyers consider in deciding whether to purchase property through a bankruptcy sale?
  • How can buyers identify and minimize their legal risks when executing a bankruptcy sale?
  • What are some recommended strategies for navigating the bankruptcy court processes?
  • What are the key due diligence considerations and best practices for negotiating and documenting the purchase?

Following the speaker presentations, you'll have an opportunity to get answers to your specific questions during the interactive Q&A.


Miller, Ken
Ken Miller

Gorman & Miller

Mr. Miller specializes in commercial real estate transactions. Since 1999, he has represented clients in successfully...  |  Read More

Joseph Bolnick
Joseph Bolnick

Of Counsel
Gorman & Miller

He has extensive experience in bankruptcy, commercial, and personal litigation. He has litigated in California state...  |  Read More

David K. Gottlieb
David K. Gottlieb

National Partner

He is in charge of the firm’s Bankruptcy Insolvency Services practice in Los Angeles. He has served as a chapter...  |  Read More

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