July 25, 2022
FERC Strikes Out a Third Time in the Fifth Circuit on Rejecting Power Contracts
FERC tried the patience of the Fifth Circuit by arguing again that the agency can bar a chapter 11 debtor from rejecting a filed-rate contract.
5th CircuitJuly 22, 2022
The Right to Credit Bid Does Not Preclude Charging a Buyer’s Premium at Auction
When a secured lender credit bids, a buyer’s premium can be a legitimate surcharge against the lender’s collateral, Judge Rodriguez says.
5th Circuit, Texas, Texas Southern DistrictJuly 21, 2022
First and Ninth Circuits Split on Discharge of Takings Clause Claims
Splitting with the Ninth Circuit, the First Circuit holds that claims under the Takings Clause cannot be discharged in a municipal bankruptcy.
1st CircuitJuly 20, 2022
Assets Sold Free and Clear of a Multi-Employer Pension Plan’s Withdrawal Liability
The Seventh Circuit has yet to rule precisely on whether the bankruptcy court can sell assets free and clear of successor liability.
7th Circuit, Illinois, Illinois Southern DistrictJuly 19, 2022
Corporate Officer Has a Nondischargeable Debt from the Company’s Fraud
Tenth Circuit insinuates that a debtor may have a nondischargeable debt even if the debtor did not personally benefit from fraud.
10th CircuitJuly 18, 2022
Rule 11 Motion for Sanctions May Be Filed After Final Judgment, Eleventh Circuit Says
A motion for sanctions may be filed after judgment, as long as the 21-day safe harbor has elapsed before judgment.
11th CircuitJuly 15, 2022
Change in Decisional Law Requires Plan Amendment in One Year, Seventh Circuit Says
To take advantage of a change in decisional law, a plan must be modified within the time limits imposed by Federal Rule 60(c), the Seventh Circuit says.
7th CircuitJuly 14, 2022
BAPCPA Didn’t Entirely Stop Mortgages from ‘Riding Through’ Chapter 7
The lender’s failure to demand reaffirmation before discharge in chapter 7 barred enforcement of a default based on the filing of bankruptcy.
9th Circuit, NevadaJuly 13, 2022
District Court Affirms: ‘13’ Debtors Lose Appreciation in a Home After Conversion to ‘7’
On an issue where the courts are split, a district judge in Washington State holds that the debtors lose the post-petition appreciation in the value of estate property when a chapter 13 case converts to chapter 7.
9th Circuit, Washington, Washington Western DistrictJuly 12, 2022
Third Circuit Sets the Standard for Qualification of a Future Claimants’ Representative
A representative of future claimants must meet a higher standard than disinterestedness, the Third Circuit said, but technical conflicts may not be disqualifying.
3rd Circuit