October 11, 2023
A ‘Litigation Tactic’ Isn’t Fatal in Chapter 15
A bankruptcy judge in New York was deferential to foreign liquidators using chapter 15 to extinguish a lawsuit in the U.S. that they saw as a nuisance.
2nd Circuit, New York, New York Southern DistrictOctober 10, 2023
Consent to a Sale for Less than the Mortgage Debt Doesn’t Waive a Deficiency Claim
A secured lender need not obtain a deficiency judgment to retain a claim against an insurer for a shortfall in a bankruptcy sale, Bankruptcy Judge Grossman says.
2nd Circuit, New York, New York Eastern DistrictOctober 06, 2023
Debtors May Avoid Judicial Liens Under Section 522(f) Securing Nondischargeable Debts
Bankruptcy Judge Alan Koschik declined to follow cases decided before Congress amended Section 522(f) to preclude avoiding judicial liens securing domestic support obligations.
6th Circuit, Ohio, Ohio Northern DistrictOctober 05, 2023
The Standard for Enlarging the Time to File a Subchapter V Plan
Judge Jacobvitz of New Mexico follows Judge Harner of Maryland in developing a standard for deciding whether a Subchapter V debtor may extend the time for filing a plan.
10th Circuit, New MexicoOctober 04, 2023
Student Loans Consolidated After Filing Can’t Be Discharged, Even for Undue Hardship
Consolidating student loans after filing creates a post-petition debt that can’t be discharged without filing bankruptcy again.
5th Circuit, Texas, Texas Western DistrictOctober 03, 2023
It’s Ok to Avoid a Fraudulent Transfer Even if It Makes the Debtor Solvent, Circuit Says
The Second Circuit found discretion to avoid a constructively fraudulent transfer of exempt property that would have enabled the debtor to pay her creditors in full.
2nd CircuitOctober 02, 2023
Bankruptcy Judge Hints: Third Circuit Precedent on Public Records May Be Too Broad
Delaware’s Judge Goldblatt seems to be recommending that the Third Circuit close a loophole in confidentiality agreements.
3rd Circuit, DelawareSeptember 29, 2023
Foreign Sovereign Immunity Bars the Madoff Trustee from Recovering $20 Million
A district judge in New York reversed the bankruptcy court, which had held that a Kuwaiti public pension fund was not entitled to sovereign immunity for having engaged in commercial activity.
2nd Circuit, New York, New York Southern DistrictSeptember 29, 2023
Supreme Court Grants ‘Cert’ to Rule on Refunds for Overpayment of U.S. Trustee Fees
The Supreme Court will hear two bankruptcy cases in the new term: nondebtor releases, and refunds for overpayment of U.S. Trustee fees.
Supreme CourtSeptember 28, 2023
An FTC Suit Under the Sherman and FTC Acts Wasn’t Subject to the Automatic Stay
The ‘police and regulatory’ exception to the automatic stay applies when the FTC is only seeking injunctive and equitable relief, the D.C. Circuit says.
D.C. Circuit, District of Columbia