Rochellel's Daily Wire

January 09, 2025

Converting from Chapter 7 to Sub V to Liquidate Is Ok, Judge Cleary Says

A corporate debtor with no income and no operating business could convert an involuntary chapter 7 case to Subchapter V of chapter 11.

7th Circuit, Illinois, Illinois Northern District

January 08, 2025

A Judgment Lien Isn’t Created by Filing a UCC Financing Statement, Judge Furay Says

To obtain a judgment lien, filing a UCC financing statement is no substitute for docketing a judgment.

7th Circuit, Wisconsin, Wisconsin Western District

November 19, 2024

Chicago District Judge Decides that Sub V Debtors Can Have Nondischargeable Debts

Reversing the bankruptcy court, the Chicago district judge follows the Fourth and Fifth Circuits and rejects a contrary holding by the Ninth Circuit BAP.

7th Circuit, Illinois, Illinois Northern District

November 18, 2024

Judge Thorne Describes the Quantum of Evidence Needed to Show a Plan Is Fair and Equitable

Although a ‘true-up’ cannot be imposed, a debtor could employ a ‘true-up’ to confirm an otherwise nonconfirmable plan.

7th Circuit, Illinois, Illinois Northern District

November 08, 2024

Seventh Circuit Dismisses Based on ‘Person Aggrieved’ Without Citing Truck Insurance

A per curiam decision from the Seventh Circuit raises the question of whether Truck Insurance overruled ‘person aggrieved’ sub silentio.

7th Circuit

November 04, 2024

Releasing a Lien Under Section 1325(a)(5)(B) Is Different When There Are Co-Debtors

Despite Section 1325(a)(5)(B), an auto lender was entitled to retain a lien when there were co-debtors.

7th Circuit, Illinois, Illinois Southern District

October 15, 2024

Bankruptcy Court Can’t Have Exclusive Jurisdiction over Disputes from a Sale Order

A district judge in Indiana says that a bankruptcy court cannot have exclusive jurisdiction over disputes in the future except in the circumstances specified in Section 1334.

7th Circuit, Indiana, Indiana Northern District

October 02, 2024

A Vote for a Plan After the Deadline Won’t Be Counted, Judge Blise Says

Because ‘excusable neglect’ won’t allow a late vote to be counted, counsel must solicit votes on a plan before the voting deadline.

7th Circuit, Wisconsin, Wisconsin Eastern District

August 20, 2024

Judge Barnes Explained Why Bankruptcy Stays Don’t Require Personal Jurisdiction

Chicago’s Bankruptcy Judge Timothy Barnes explained eight years ago why bankruptcy stays do not require personal jurisdiction, unlike injunctions in receiverships.

7th Circuit, Illinois, Illinois Northern District

August 09, 2024

Nondischargeability Is a ‘Thing’ for Corporate Subchapter V Debtors, Judge Thorne Says

The tide is turning against corporate Sub V debtors. Two bankruptcy judges now side with two circuits in holding that debts of corporate debtors can be nondischargeable.

7th Circuit, Illinois, Illinois Northern District