In the case of Central Virginia Community College v. Katz, the Court decided that a bankruptcy trustee could recover a preferential transfer from a state agency. In the past, states have asserted "sovereign immunity" to prevent a bankruptcy trustee from recovering money under the Bankruptcy Code. The Supreme Court's decision might be extended to allow debtors, in similar circumstances to a trustee, to also recover money paid as a "preference" to a state or state agency.