June 09, 2023
State Exemption for Life Insurance Policies Continues to Be Under Attack in Texas
Defeated three times, a chapter 7 trustee is appealing to the Fifth Circuit to end the exemption for whole-life policies in Texas.
5th Circuit, Texas, Texas Western DistrictMay 12, 2023
Courts May Bypass Equitable Mootness to Rule on the Merits, Fifth Circuit Says
Even if an appeal is equitably moot, the appellate court nonetheless has appellate jurisdiction. Equitable mootness is prudential, not jurisdictional.
5th CircuitApril 21, 2023
A Buyer Is in Good Faith Despite Using Economic Leverage, Fifth Circuit Says
Supposedly nefarious facts aren’t evidence of bad faith if they were disclosed to the bankruptcy judge who nevertheless made a finding of good faith.
5th CircuitApril 13, 2023
Judge Isgur Allows 401(k) Contributions in Chapter 13 Up to What the IRS Code Allows
Contributions to 401(k) plans are deducted from ‘projected disposable income,’ even though the debtor was not making contributions before filing
5th Circuit, Texas, Texas Southern DistrictApril 07, 2023
Later Developments Don’t Undo Subchapter V Eligibility, Houston Judge Says
In the Alex Jones corporate Subchapter V case, Bankruptcy Judge Christopher Lopez said that the later chapter 11 filing by Jones himself, with about $1.5 billion in debt, didn’t kick the corporate debtor out of Subchapter V and into ‘ordinary’ chapter 11.
5th Circuit, Texas, Texas Southern DistrictMarch 31, 2023
$400,000 in Sanctions Upheld for Violation of a Confidentiality Order
A large sanction was civil, not criminal, because it was designed for deterrence.
5th Circuit, Louisiana, Louisiana Eastern DistrictMarch 29, 2023
A Trust Didn’t Defeat a Prior, Perfected Security Interest in Accounts Receivable
The district court characterized the agreement not as creating a trust but as a device designed to win priority over a prior, perfected security interest.
5th Circuit, Texas, Texas Northern DistrictMarch 15, 2023
State Exemption for Life Insurance Policies Under Attack in Texas
Bankruptcy Judges Gargotta and Davis both held that the amended Texas exemption statute exempts life insurance policies and their cash surrender values.
5th Circuit, Texas, Texas Western DistrictMarch 13, 2023
It’s Not Easy for a Lender to Block an LLC from Filing Bankruptcy
A small business debtor must consent for a case to be converted to Subchapter V, Judge Robert Jones says.
5th Circuit, Texas, Texas Northern DistrictMarch 06, 2023
Highland Capital Makes Law Again, This Time on Bankruptcy Appellate Standing
The ‘possibility of harm’ won’t confer bankruptcy appellate standing, the Fifth Circuit says.
5th Circuit