August 11, 2020
Seventh Circuit Bars ‘Objector Blackmail’ in a Class Settlement
The Seventh Circuit uses broad equitable powers to prevent one member of a class from receiving a settlement when appealing an issue applicable to the entire class.
7th CircuitAugust 10, 2020
Two Circuits Agree: Coal Act Doesn’t Bar Terminating Retiree Benefits via Section 1114
Fifth Circuit declines to create a circuit split on the ability of a coal producer to sell assets and protect the buyer from liability for retiree health benefits under the Coal Act.
5th CircuitAugust 07, 2020
Creditors Have Standing but Not Authority to Pursue Estate Claims, Third Circuit Says
Third Circuit’s Judge Bibas says that courts use the wrong nomenclature when they say that creditors lack standing to pursue claims belonging to the estate. It’s a question of statutory authority, he said, not standing.
3rd CircuitAugust 06, 2020
Seven-Year Chapter 13 Stretchout Isn’t Available for Plans Confirmed After March 27
Two judges agree that the CARES Act amendment allowing chapter 13 plans to run for seven years is applicable only to plans confirmed before March 27.
6th Circuit, Michigan, Michigan Eastern DistrictAugust 05, 2020
Ninth Circuit Says Assumption Under Section 365(p) Doesn’t Also Require Reaffirmation
Lease assumption is binding even if the debtor doesn’t follow the procedural requirements of Section 365(p).
9th CircuitAugust 04, 2020
Asset Exempt in Chapter 13 Retains the Exemption After Conversion, First Circuit Says
Circuit split is eroding on the loss of a homestead exemption for failing to reinvest proceeds from a sale after filing.
1st CircuitAugust 03, 2020
Judge Romero Explains Why Lenders Can’t Claw Back Retainers Paid by Debtors
The UCC protects retainers in the hands of lawyers from secured lenders bent on glomming their collateral.
10th Circuit, ColoradoJuly 31, 2020
Tenth Circuit BAP Says that Section 364(d)(1) Can’t Be Used for Priming Lien in a Plan
In a SARE case, the BAP says that the bankruptcy court cannot deny a lift-stay motion without finding that confirmation is reasonably possible in a reasonable time.
10th CircuitJuly 30, 2020
Federal Income Taxes for a ‘Straddle Year’ Are Administrative Priority Claims
On an issue with no appellate authority, a Delaware district judge rules that federal income taxes are administrative claims if filing occurs before the year’s end.
3rd Circuit, DelawareJuly 29, 2020
Using a Casino’s ATM Makes the Casino the Initial Transferee, Not a ‘Mere Conduit’
New York judge gives casinos the responsibility for assuring that a gambler’s use of a corporate ATM card is not a fraudulent transfer.
2nd Circuit, New York, New York Southern District