January 04, 2022

Lender Socked in Dallas with $17 Million in Damages for Breach of Contract and Fraud

A lender’s breach of a factoring agreement forced a company into bankruptcy that would have survived otherwise, Judge Jernigan says.

5th Circuit, Texas, Texas Northern District

December 15, 2021

Arbitration Clause Not Enforceable When the Contract Itself Was Rejected

Judge Jernigan in Dallas differs with a judge in Delaware by declining to enforce an arbitration agreement that was part of a rejected contract.

5th Circuit, Texas, Texas Northern District

October 27, 2021

Three-Year Bar to Refiling in Chapter 13 Imposed for ‘Vexatious, Frivolous’ Litigation

Motions to recuse three bankruptcy judges fortified the third judge’s decision to dismiss and bar refiling for three years.

5th Circuit, Texas, Texas Northern District

July 15, 2021

Fees Benefiting Only the Debtor — and Not the Estate — Are Compensable in Chapter 13

Section 330(a)(4)(B) is an exception to the American Rule and the notion that administrative expenses must benefit the estate, not just the debtor.

5th Circuit, Texas, Texas Northern District

May 14, 2021

NRA’s Bankruptcy Dismissed as Being Filed for an Improper Purpose

Filing bankruptcy to gain a ‘litigation advantage’ in the N.Y. Attorney General’s dissolution action meant the chapter 11 petition was not filed in good faith and must be dismissed, Judge Harlan Hale rules.

5th Circuit, Texas, Texas Northern District

March 08, 2021

Split Grows on Whether a Subchapter V Debtor Must Be ‘Currently’ Engaged in Business

The owner of defunct businesses was held ineligible to be a small business debtor because he was no longer the owner of an operating business. Being a non-owner executive of an operating business didn’t qualify him.

5th Circuit, Texas, Texas Northern District

February 25, 2021

To Invoke Equitable or Statutory Mootness, the Record Must Be Clear that a Sale Closed

Unsubstantiated statements that a sale closed didn’t persuade a district judge in Dallas to invoke equitable or statutory mootness.

5th Circuit, Texas, Texas Northern District

April 24, 2020

‘Triggering’ Creditor’s Claim Need Not Be Static Under Section 544(b)(1)

Judge Isgur applies heightened pleading standard to a complaint for fraudulent transfer with actual intent.

5th Circuit, Texas, Texas Northern District

January 31, 2020

U.S. Receivership Court Had No Jurisdiction over Foreign Liquidators

District judge decides that he lacked jurisdiction to enforce a cross-border protocol against foreign liquidators.

5th Circuit, Texas, Texas Northern District

October 11, 2019

‘Holder Rule’ Protects Debtors from Claims by Subsequent Holders of Consumer Paper

Holder in due course of consumer paper remains subject to the debtor’s claims against the originator of the paper.

5th Circuit, Texas, Texas Northern District