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ABI Journal

Rochellel's Daily Wire

June 17, 2024

No Refunds for Overpayment of Unconstitutional U.S. Trustee Fees, Supreme Court Rules

Saying that the constitutional infirmity was “small” and “short-lived,” the majority decided that prospective relief was enough because Congress subsequently enacted a law mandating uniformity in the future with regard to fees for U.S. Trustees and Bankruptcy Administrators

Supreme Court

June 14, 2024

Supreme Says: No Refunds for Overpayment of Unconstitutional U.S. Trustee Fees

Although there was no split of circuits, the Supreme Court decided that Congress provided a sufficient remedy by requiring uniform fees going forward.

Supreme Court

June 14, 2024

Avoidance of ‘Impairment’ Liens Can’t Be Delayed until Discharge in Chapter 13

If a ‘13’ case is dismissed after confirmation, the holder of an avoided lien retains remedies under state law, Judge Rosania says.

10th Circuit, Colorado

June 13, 2024

Sub V Debt ‘Cap’ in Peril of Reverting to About $3 Million on June 21

One senator is blocking an extension of the $7.5 million debt cap for Subchapter V and the $2.75 cap for chapter 13.

Federal Circuit

June 12, 2024

A Chapter 7 Case Raises Issues in Truck Insurance on Standing in Bankruptcy Cases

Judge Mastando in New York decided that a chapter 7 trustee has authority to put the debtor’s subsidiary voluntarily into bankruptcy.

2nd Circuit, New York, New York Southern District

June 11, 2024

The Estate Owns Claims for Continuing Course of Conduct Before and After Filing

Is Segal v. Rochelle good law following the adoption of the Bankruptcy Code?

9th Circuit

June 10, 2024

RSAs Don’t Bar Indenture Trustees from Creditors’ Committee Membership

Bankruptcy Judge Brian Kenney ruled that an indenture trustee must be on a committee when the debt is ‘overwhelmingly’ held by bondholders.

4th Circuit, Virginia, Virginia Eastern District

June 07, 2024

Three Years Is the ‘Default’ Duration for a Subchapter V Plan, Judge Robinson Says

The Code doesn’t contain any rules specifying when a Subchapter V plan should have a five-year duration rather than three years.

5th Circuit, Texas, Texas Western District

June 07, 2024

Supreme Court Says that Insurance Neutrality Doesn’t Deprive an Insurer of Standing

Reversing the Fourth Circuit, the Supreme Court gives a flexible interpretation to traditional notions of constitutional standing in bankruptcy cases and appeals.

Supreme Court

June 06, 2024

Sub V Trustee Lacks Standing to Pursue an Adversary Proceeding for the Debtor

Bankruptcy Judge Eduardo Rodriguez of Houston opined on the limited powers of a Subchapter V trustee.

5th Circuit, Texas, Texas Southern District