Second Circuit: Non-consensual Third-Party Releases of Direct Claims Against a Non-debtor Can Be Included in a Chapter 11 Plan in Certain
Against a Non-debtor Can Be Included in a Chapter 11 Plan in Certain Circumstances The U.S.
363 Sale Fails After Court Enjoins Use of Assets Commingled With Non-debtor’s IP Rights & Confidential Information
Non-debtor’s IP Rights & Confidential Information One of bankruptcy’s most important—and often used—tools is the ability to sell estate property free...
Bondholders waived their right to a hearing on stay relief by accepting litigation schedule
litigation schedule Sometimes one has to object to the point of risking alienating the district judge in order to prevent waiver of the argument...
Member Involvement in Management of Manager-managed LLC Did Not Give Rise to Fiduciary Duties
Rise to Fiduciary Duties Under New Jersey law, absent a contrary provision in the operating agreement of an LLC.
Rolled-Over Retirement Funds From Deceased Spouse Are Exempt Property
A debtor that rolls over the funds from a late spouse’s IRA into the debtor’s own IRA, can claim those funds as exempt under §522(b)(3)(C)...
Bankruptcy Court Finds PR Treasury Department Liable for Violating Discharge Injunction In Rivera-Padilla v. Treasury Department of PR, the Treasury
Discharge Injunction In Rivera-Padilla v. Treasury Department of PR, the Treasury Department of Puerto Rico sent a debtor a Collection Notice...
Fifth Circuit: Bankruptcy Court Exceeded Its Authority in Approving Post-confirmation Settlements of Discharged Claims
Post-confirmation Settlements of Discharged Claims After Chesapeake Energy Corporation’s Chapter 11 plan became effective.
Debt Incurred for Misuse of Client’s Retirement and Investment Funds Declared Nondischargeable A debt owed under a judgment entered by the Court
Declared Nondischargeable A debt owed under a judgment entered by the Court of First Instance of the Commonwealth of Puerto Rico was declared...
Bankruptcy Case Dismissed Due to Unauthorized Filing
A creditor successfully argued for the dismissal of a Chapter 11 case due to the unauthorized filing of the bankruptcy petition.
First Circuit Gets Suiza Dairy Decision Wrong PROMESA has been a rollercoaster of disappointments and vindications for those who have asserted
PROMESA has been a rollercoaster of disappointments and vindications for those who have asserted prepetition claims against the Commonwealth based...
Judge Katz (Bankr. D. Mass): Estate’s Interest in Property Must Be Determined Prior to 363 Sale In prior posts, this firm discussed the reasons why
Determined Prior to 363 Sale In prior posts, this firm discussed the reasons why section 363 is a powerful tool in a reorganization or liquidation.
Settlement Agreement Not An Executory Contract Bankruptcy allows a debtor to assume those “executory” contracts that
Bankruptcy allows a debtor to assume those “executory” contracts that are beneficial and reject those that may hinder its recovery.
Critical Vendor Orders Not Authorized Under the Bankruptcy Code
According to Oregon BJ Today’s Rochelle’s Daily Wire discusses a recent decision out of the U.S.
SCOTUS’ Appling Continues to Make it Harder to Exempt a Debt From Discharge Debts incurred by making intentional false representations are generally
Discharge Debts incurred by making intentional false representations are generally exempt from a debtor’s discharge in bankruptcy.
City of Chicago v. Fulton was decided by the U.S. Supreme Court on January 14, 2021. The case centered around whether the City of Chicago's refusal
January 14, 2021. The case centered around whether the City of Chicago's refusal to return impounded vehicles after the vehicle owners filed...
A Subchapter V Trustee Can Use Property of the Estate Outside the Ordinary Course of Business A subchapter V trustee is a unique figure which has
Ordinary Course of Business A subchapter V trustee is a unique figure which has some of the duties of a chapter 11 trustee.
Failure to Timely Dissolve Garnishment After Bankruptcy Filing Leads to Automatic Stay Violation
Automatic Stay Violation A creditor was found to have willfully violated the automatic stay by failing to dissolve a pre-petition writ of garnishment.
Judge Godoy Exempts From Debtor’s Discharge Debts Triggered by Divorce Decree Which Originated Under Prenuptial and Postnuptial Agreements It
Decree Which Originated Under Prenuptial and Postnuptial Agreements It is often said that the purpose of the Bankruptcy Code is to provide the “honest...
Small Business Reorganization Converted to Liquidation After Blanket Security Interest Dooms Restructuring Efforts A Subchapter V case was converted
Security Interest Dooms Restructuring Efforts A Subchapter V case was converted to Chapter 7 after a bankruptcy judge found that the debtor could not...
Uptier Transaction Underpinning Chapter 11 Plan Complies With Underlying Credit Agreement and With Implied Covenant of Good Faith In 2020,
Credit Agreement and With Implied Covenant of Good Faith In 2020, in response to Serta Simmons Bedding.