Why a Secured Creditor Might Like the Uniform Assignment for Benefit of Creditors Act, The Secured Lender
July 06, 2026Partner Jen Feldsher and senior consultant Ed Smith co-authored an article for The Secured Lender examining how the Uniform Assignment for Benefit of Creditors Act (UABCA) could expand restructuring options for secured creditors. The article discusses the UABCA’s potential to create a more consistent and predictable framework for assignments for the benefit of creditors (ABCs) across states and why that matters for lenders navigating financially distressed borrowers.
The authors explain how the UABCA strengthens the ABC process by providing enhanced protections for secured creditors, greater flexibility to preserve and maximize asset value, and a more uniform approach to issues such as multistate assets, claims resolution, and court involvement. They also explore how the legislation could reduce transaction costs and offer a more efficient alternative to bankruptcy or foreclosure in appropriate situations.