For advisors
Realizing data assets in insolvency
You may control the assets. That role does not, by itself, make you the signer of a data license. Confirm authority before an enquiry is treated as the company's. Identifying details stay out even when other assets are realized. The statute quotes sit with the bankruptcy situation. There is no referral fee.
Up to $150K · $0 cost · 3 days
| Fact | Detail |
|---|---|
| Authority | Confirm authority before an enquiry is treated as the company's. An office-holder should not file the form in the company's name without that authority. |
| Contracting | We have no rule that we will contract with a trustee or an assignee. Ask who has authority, then ask us who can sign. |
| Identifying details | Names, emails, phone numbers, and customer and staff details stay out of the copy, even when other assets are being realized. |
| Statutes | The words of 11 U.S.C. § 541 and § 332 are quoted on the bankruptcy situation. Read that text with your lawyer for the case in front of you. |
| Introduction | There is no referral fee. An office-holder is not a paid introducer. |
What insolvency practitioners are deciding
You may be in control of assets. Control is not the same thing as authority to license records. Confirm authority before an enquiry goes out in the company's name. An office-holder should not file the form as the company without that confirmation. Bring the appointment, ask your lawyer who can sign, and ask us only after that answer exists. Identifying details stay out even when equipment, inventory, or a brand is being sold.
Your role as an insolvency practitioner, and who signs
The words of 11 U.S.C. § 541 and § 332 are on the bankruptcy situation. Read that text with your lawyer. It is the statute, and a briefing is not a substitute for it. An assignment for the benefit of creditors is state law. The procedure of one state is the wrong procedure for a company in another state. There is no referral fee. You are not a paid introducer. The party your lawyer names is the one who enquires. If that party is not you, leave your firm off the form.
The company signs an NDA and the licensing agreement directly with the data partner, not with Vetrix. We tell the company the data partner's name before anyone signs.
What to tell a client
Can I sign because I am appointed?
Appointment is not a signature. Confirm who has authority, and have that party enquire.
Will you contract with a trustee?
We have no rule that we will. Ask who has authority, then ask us who can sign.
Are staff identities included if the court is selling other assets?
No. Names, emails, phone numbers, and customer and staff details stay out of the copy.
For the Bankruptcy Code sections that apply, read selling company data in bankruptcy. If the debtor's privacy policy restricted transfers of personal information, the court may appoint a consumer privacy ombudsman.
Checklist
| Check |
|---|
| Have the appointment document in hand. |
| Ask who has authority before the form is filed in the company's name. |
| Keep the never-shared list out of the copy. |
| Read the bankruptcy situation for the statute quotes. |
| Name the party your lawyer says can sign. The appointment, by itself, is not that name. |
When a different role fits
If you advise the company and you do not hold the assets, a dissolution lawyer reviews and you may still be asked about control. You still have to show authority. The statute quotes belong with the company's bankruptcy situation.
For the company's side of this, read selling company data in bankruptcy.
If that is your job instead, read recovering value for clients in a company dissolution.
If you are a venture fund watching a wind-down without control of the assets, read portfolio company wind-down for VCs.
For the wider job, read how to wind down a company. Other roles are under company data licensing for advisors.
Read how company data licensing works for the steps. For the four license terms, read the company data license agreement, in plain English.
For the wider legal question, read is it legal to sell company data to AI companies.
General information only. This is not legal, tax or financial advice.
Related
- For advisors
Company data licensing for founders, finance leaders, investors, and advisors.
- Winding down
Order of operations to wind down a company, from approval through taxes and dissolution.
- Wind-down lawyers
What a dissolution lawyer flags about records, beside the legal work.
- Bankruptcy or ABC
Authority questions when company data sits inside a bankruptcy or an assignment.
- How it works
The six steps from a short enquiry to payment, and how to stop.
- License terms
The four license terms: what you give, keep, agree, and sign.
- Is it legal?
What GDPR, US rules, and bankruptcy law say about licensing company data.
Questions about data licensing for insolvency practitioners
Can an office-holder sign a data license?
Only after authority is confirmed. An office-holder should not file the form in the company's name without it. Ask your lawyer who has authority over the assets, then ask us who can sign. The appointment document is the starting paper. It is not a completed signature, and a job title on that paper is not the signature block.
Will Vetrix contract with a trustee or an assignee?
No. We have no rule that we will contract with a trustee or an assignee. Authority comes first. The person who enquires has to be the person with authority over the assets. Bring that question to your lawyer, and bring the answer to us before anyone signs. An office-holder's appointment does not, by itself, answer it. Identifying details stay out of the copy either way.
Where is the bankruptcy statute discussed?
In selling company data in bankruptcy, where 11 U.S.C. § 541 and § 332 are quoted from the United States Code. Read that text with your lawyer for the case in front of you. A briefing is not the statute. An assignment for the benefit of creditors is state law, and the form from one state is the wrong form for a company in another. Bring the appointment and the assignment, if there is one.
Are staff and customer identities in the licensed copy?
No. Names, emails, phone numbers, and customer and staff details stay out of the copy, even when other assets are being realized. Passwords and legal files stay out as well. A sale of equipment, inventory, or a brand does not pull identities into a data license. Personal details are removed before anything leaves. You can hold back any system beyond that list.
Sources
- Vetrix Labs. Vetrix Data Licensing.