Bankruptcy has always involved balance sheets and claims registers. But two recent cases — Yellow Corporation and Mitchell Gold + Bob Williams — show that bankruptcy today is also about logistics disruption on a massive scale.
As counsel for commercial creditors, I view these cases as a turning point: logistics providers, warehousing companies, and supply chain vendors are no longer background players. They are now frontline defendants in bankruptcy adversary proceedings.
1. Yellow Corporation: Over 1,000 Clawback Suits
When Yellow, one of the largest U.S. freight carriers, collapsed, it launched more than 1,000 adversary proceedings against creditors — clawing back payments made in the ordinary course. For fuel providers, landlords, parts suppliers, and logistics vendors, this means litigation exposure simply for having been paid.
2. Mitchell Gold: Stranded Goods & Delivery Protocols
Mitchell Gold’s bankruptcy left thousands of paid-for furniture orders stranded in warehouses run by third-party logistics providers like Ryder. Creditors and customers were forced into chaos until the court approved a delivery protocol allowing goods to be released. This case underscores that supply chain breakdowns don’t just affect customers — they hit creditors who are stuck holding receivables and defending clawback exposure.
3. Common Thread: Logistics = Bankruptcy Risk
Both cases demonstrate:
- High-volume adversary proceedings are the new normal.
- Third-party logistics providers (3PLs) are at the center of disputes.
- Documentation — invoices, shipping records, payment terms — is the best defense.
- Early action is critical: creditors who asserted rights quickly in Mitchell Gold fared better; those who negotiate early in Yellow are better positioned to resolve.
Legal Insight
What Yellow and Mitchell Gold show is that bankruptcy is no longer confined to finance departments. Supply chain and logistics creditors are now primary targets. Those who assume they are peripheral players risk being blindsided by clawback lawsuits or frozen assets.
At The Law Office of Magdalena Zalewski, we represent logistics creditors across industries — from freight carriers to warehousing companies — ensuring claims are defended, clawback exposure is mitigated, and recovery is maximized.
Representation is available on a competitive hourly basis, exclusive of costs and expenses. For matters involving urgent timelines or complex multiparty claims, premium terms may apply. We prioritize strategic, results-driven solutions with an emphasis on early resolution whenever appropriate.
📞 If you are a logistics creditor facing clawback demands or stranded assets in a bankruptcy case, contact us today. Acting early can mean the difference between loss and recovery.