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ABI Journal

Rochellel's Daily Wire

June 23, 2025

Retaining Jurisdiction Doesn’t Ensure Subject Matter Jurisdiction After Confirmation

Listing a lawsuit explicitly in a disclosure statement may not mean there’s a ‘close nexus’ to provide subject matter jurisdiction for an action brought in bankruptcy court after confirmation.

3rd Circuit, Delaware

June 19, 2025

Opposing Relief, a Creditor Isn’t Required to Show Constitutional Standing

Delaware’s Bankruptcy Judge Goldblatt explains why the Supreme Court’s Truck Insurance opinion says nothing about Article III constitutional standing.

3rd Circuit, Delaware

June 05, 2025

There’s an Exception to the Rule that Fraudulent Transfer Recoveries Can’t Benefit Shareholders

When creditors have been paid in full, a trustee may pursue fraudulent transfers for the benefit of defrauded equity holders, Bankruptcy Judge Craig Goldblatt says.

3rd Circuit, Delaware

May 20, 2025

The ‘Dissent’ in Boy Scouts Favored Using Equitable Mootness to Uphold Nondebtor Releases

The circuit courts are diverging on the utility of equitable mootness to avoid reversing confirmation of chapter 11 plans.

3rd Circuit

May 19, 2025

As to Appealing Insurers, the Boy Scouts Plan Was Not Equitably Moot

Holding $1.4 billion in escrow did not preclude invocation of equitable mootness, Third Circuit majority says.

3rd Circuit

May 16, 2025

Third Circuit Upholds Boy Scouts’ Nonconsensual Releases, Purdue Notwithstanding

The Third Circuit majority upheld nondebtor, nonconsensual releases because they were part of a sale, making the appeal statutorily moot under Section 363(m).

3rd Circuit

May 15, 2025

Third Circuit Holds: Magistrate Judges May Issue Final Orders on Bankruptcy Appeals

The Third Circuit splits from Seventh and Tenth Circuit opinions dating from 1987 and 1990.

3rd Circuit

May 08, 2025

Equity Won’t Extend the Deadline for Filing a Dischargeability Complaint

The circuits are split on whether equity can extend the 60-day deadline for filing dischargeability complaints.

3rd Circuit, Pennsylvania, Pennsylvania Eastern District

April 28, 2025

Debtors’ Lawyer Has No 7th Amendment Right to Sue for Post-Petition Fees, Circuit Says

The debtors’ inequitable conduct didn’t relieve counsel of the duty to disclose fees charged for post-petition litigation.

3rd Circuit

April 21, 2025

Section 107 Governs Sealing of Court Documents, Not Common Law, Third Circuit Says

Section 107 more broadly protects trade secrets and confidential information than does common law.

3rd Circuit