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

February 24, 2021

Bankruptcy Settlement Didn’t Discharge All Environmental Claims, New York Judge Says

Due process considerations persuaded District Judge Oetken to conclude that a creditor’s claims, unknown at the time, were not barred by a settlement.

2nd Circuit, New York, New York Southern District

February 23, 2021

Espinosa Doesn’t Forgive All Procedural Defects in Confirmation, Judge Ludwig Says

To sell free and clear, someone with an interest in the property must receive the notice required for service of a summons and complaint. Actual notice doesn’t suffice.

7th Circuit, Wisconsin, Wisconsin Eastern District

January 13, 2021

Another Court Lets the Debtor Keep Appreciation in a Home on Conversion from 13 to 7

Where the courts are split, Idaho judge sides with the Tenth Circuit BAP and allows a chapter 13 debtor to retain post-petition appreciation in the value of a homestead following conversion to chapter 7.

9th Circuit, Idaho

November 19, 2020

Why Must Unsecured Creditors Always Get the Dregs in Bankruptcy?

Judge Bonapfel explains why injuries to unsecured creditors in bankruptcy are the result of choices made by Congress.

11th Circuit, Georgia, Georgia Northern District

November 16, 2020

‘Lifetime’ Club Memberships May Not Survive Bankruptcy

Before paying up front for a lifetime club membership, read the fine print and consult a lawyer.

3rd Circuit, New Jersey

October 08, 2020

Chapter 13 Debtors Retain Appreciation in Property After Conversion or Plan Amendment

On an issue where the courts are split, the Tenth Circuit BAP sides with debtors and allows them to retain postpetition appreciation in the value of assets that were in the estate on filing.

10th Circuit

September 21, 2020

Michigan Judge Prefers Dismissal if Conversion Won’t Benefit Unsecured Creditors

The parties judged the chapter 11 case a success, even though unsecured creditors got zilch.

6th Circuit, Michigan, Michigan Western District

September 11, 2020

Rejection Didn’t Rescind Sale of Future Credit Card Receivables, New York Judge Says

Bankruptcy Judge Glenn hints that the lenders and the debtor should mediate tough questions about the enforceability of a $150 million ‘sale’ of future credit card receivables.

2nd Circuit, New York, New York Southern District

August 10, 2020

Two Circuits Agree: Coal Act Doesn’t Bar Terminating Retiree Benefits via Section 1114

Fifth Circuit declines to create a circuit split on the ability of a coal producer to sell assets and protect the buyer from liability for retiree health benefits under the Coal Act.

5th Circuit