This Note highlights the tension between Section 547 and Section 553 of the Bankruptcy Code, with specific attention paid to the interaction between set-off rights and the hypothetical liquidation invoked by a court in a voidable preference action, and proposes adopting the Ninth Circuit’s reasoning as a bankruptcy court standard when confronted with a similar conflict between the formalized tests in Sections 547 and 553, in an attempt to achieve a more equitable outcome.
Cardozo Law Review de·novo
Rutstein, Josh, "How Far Does the Rabbit Hole Go: The Interaction Between Set-Off Rights and the Voidable Preference Hypothetical in Chapter 7 Liquidation" (2019). Cardozo Law Review de•novo. 67.