What Happens to Market Facilitation Program Payments in Farm Bankruptcies?

The news in early November that a second round of $7.8 billion in 2019 Market Facilitation Program (MFP) payments would get underway—news that comes at a time when farm bankruptcy filings are on the rise—raises a potentially significant question for both agricultural lenders and struggling producers alike: what happens to MFP payments in bankruptcy? TheContinue reading “What Happens to Market Facilitation Program Payments in Farm Bankruptcies?”

Chapter 12’s New $10 Million Debt Limit: Will Farm Bankruptcy Filings Spike?

Following the enactment of the Family Farmer Relief Act of 2019 in August, there has been endless speculation as to whether the Act’s dramatic increase in the Chapter 12 maximum debt limit—from about $4.4 million to $10 million—would catalyze a spike in Chapter 12 farm bankruptcy filings. Recent agricultural lending and other economic data indicateContinue reading “Chapter 12’s New $10 Million Debt Limit: Will Farm Bankruptcy Filings Spike?”