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ABI Journal

Rochellel's Daily Wire

August 19, 2025

Allowed Claim Can’t Be Used Offensively, Second Circuit Says

Second Circuit barred offensive use of claim preclusion based on ‘fairness’ but hinted that offensive claim preclusion might never be permitted.

2nd Circuit

August 18, 2025

11th Circuit Upholds Its Rule that There’s No Equitable Tolling for Dischargeability Complaints

The opinion reads like an invitation for the Eleventh Circuit to sit en banc and reconsider circuit authority holding that a claims-processing deadline is not subject to equitable tolling.

11th Circuit

August 15, 2025

Puerto Rico’s Debt-Adjustment Proceedings Weren’t Unconstitutional ‘Takings’

The Federal Circuit upheld the claims court’s decision that taking away bondholders’ collateral wasn’t an unconstitutional taking.

Federal Circuit

August 14, 2025

No Jurisdiction over Post-Confirmation Breach of a Pre-Confirmation Contract

Not much caselaw on the bankruptcy court’s jurisdiction over breach of a contract made during a chapter 11 case when the breach occurred after confirmation.

Delaware

August 13, 2025

Liquidating Trustee Ousted for an Undisclosed Litigation Funding Agreement

The pricey litigation funding agreement had not been disclosed to creditors before confirmation.

Texas Northern District

August 12, 2025

Eleventh Circuit: Chapter 13 Debtor Keeps Settlement of a Personal Injury Claim

What’s a settlement of a personal injury claim? Is it income earmarked for creditors in chapter 13?

11th Circuit

August 11, 2025

Bestwall Concurrence Believes in ‘Liberalization’ of Bankruptcy Powers

The concurring opinion in Bestwall could be read to suggest that Circuit Judge G. Steven Agee might have an open mind if a confirmed plan comes to the Fourth Circuit on appeal.

4th Circuit

August 08, 2025

Bestwall Dissenting Opinion Reads Like Dismissal of LTL Mgmt for a Bad Faith Filing

The Bestwall dissenter understands the Bankruptcy Clause as having the 18th century definition of ‘bankruptcy,’ thus requiring insolvency or inability to pay debts.

4th Circuit

August 07, 2025

Fourth Circuit Rules on Jurisdiction, not ‘Financial Distress’ for a Chapter 11 Debtor

Fourth Circuit majority and dissenting opinions might be read to suggest that Bestwall could have tough sledding on an appeal from confirmation since the debtor is solvent.

4th Circuit

August 06, 2025

Trial-Ready Case Remanded to State Court, Not Transferred to Bankruptcy Court

District judge was reluctant to have the bankruptcy court decide whether a suit removed to federal court should be remanded to the state trial court.

Connecticut