A number of investment funds active in the market for trade claims in distressed companies came together and formed the Trade Claim Buyers Association (“TCBA”) in 2002.
With the proliferation of corporate bankruptcies and the increased number of funds, particularly smaller funds, active in the trading of vendor claims and similar “private” obligations, the members felt that a trade association was needed to establish certain elements for the standardization of the assignment, transfer and payment for such claims. This would not only clarify procedures among competitors in the trade claims market but, most importantly, would also act to bring additional confidence to creditors wishing to sell their claims.
TCBA was formed to promote good standards and practices within the business of purchasing and transferring trade claims of companies in general, and specifically companies in bankruptcy. The Association promotes effective and timely docketing and paying of transferred claims, and other practices and standards that are fair and beneficial to the business of purchasing and selling trade claims.
TCBA also acts as an advocate, working with bankruptcy courts, trustees, bankruptcy attorneys, and claims agents to bring more uniformity to all aspects of the claims transfer process.
Argo Partners is a founding member of this organization.