December 08, 2021
Delaware Bankruptcy Judge Dismisses a Lawsuit for Forum Non Conveniens
Although a chapter 11 plan can bind parties throughout the world, Judge Sontchi wouldn’t let a foreign debtor sue a foreign bank in the Delaware bankruptcy court over a transaction that occurred in England.
3rd Circuit, DelawareDecember 07, 2021
Judge Tells ‘13’ Debtors’ Counsel How to Write their Retention Agreements
Judge Jacobvitz told counsel for chapter 13 debtors how to write their engagement agreements to ensure being paid from funds held by the trustee if the case converts to chapter 7 before confirmation.
10th Circuit, New MexicoDecember 06, 2021
Taggart Means No Strict Liability for Violating a Corporate Debtor’s Automatic Stay
Persuasive authority is required before a creditor can be held in contempt for violating the automatic stay protecting a corporate debtor.
6th Circuit, Ohio, Ohio Southern DistrictDecember 03, 2021
Ninth Circuit Affirms the BAP on the Outer Limits of the Discharge Injunction
Deducting a discharged loan to a child from her inheritance didn’t violate the discharge injunction.
9th CircuitDecember 02, 2021
No Duty to Release an Attachment After Fulton, Ninth Circuit BAP Says
The BAP decision may have a hint that failure to stop proceedings after bankruptcy can be an automatic stay violation, even after Fulton.
9th CircuitDecember 01, 2021
BAP Rules that Tolling in Section 108(c) Does Not Apply to Notices Under Section 546(b)
In dicta, the Ninth Circuit BAP says that equitable estoppel cannot be applied against a debtor in view of the debtor’s fiduciary responsibilities.
9th CircuitNovember 30, 2021
Chapter 15 Permits Discovery to Lay Groundwork for a Lawsuit, New York Judge Says
Judge Garrity wasn’t required to rule on whether Bankruptcy Rule 2004 applies in chapter 15 cases.
2nd Circuit, New York, New York Southern DistrictNovember 29, 2021
Merely ‘Technical’ Stay Violations Don’t Obviate Section 362(k) Sanctions, BAP Says
Even when the debtors are not parties to the suit, the stay is violated when a creditor pursues an action to collect a debt owing by the debtors, so says the Ninth Circuit BAP.
9th CircuitNovember 24, 2021
Judge Isicoff Explains Why a Foreclosure Sale Can’t Be a Preference
The transfer of title in a real estate foreclosure is not a transfer on account of an antecedent debt and therefore can’t be a preference, at least in Florida.
11th Circuit, Florida, Florida Southern DistrictNovember 23, 2021
Disastrous Litigation Strategy Didn’t Justify Stay Modification, Eleventh Circuit Says
Stay modification is required even if the creditor wants to intervene in state court to help the bankrupt estate.
11th Circuit