June 11, 2020
Force Majeure Clause Cut an Illinois Debtor’s Rent by 75%
Chicago judge cut rent by 75% after governor prohibited on-premises dining in the debtor’s restaurant.
7th Circuit, Illinois, Illinois Northern DistrictJune 02, 2020
Liquidating in Chapter 11 Won’t Stop an EEOC Suit for Employment Discrimination
Magistrate judge decided that the regulatory power exception to the automatic stay allows the EEOC to proceed, but he stayed the suit by the former employee seeking damages.
11th Circuit, Georgia, Georgia Northern DistrictMay 29, 2020
Postpetition Default on a Mortgage Is a Prepetition Debt for Setoff Purposes
The obligation on a mortgage is incurred when the mortgage is granted, even though the payment default may occur after filing, Judge Thuma says.
10th Circuit, New MexicoMay 15, 2020
Judge Christopher Klein Takes Sides on a Circuit Spilt Coming to the Supreme Court
Judge Klein’s opinion reads like an amicus brief urging the Supreme Court to grant ‘cert’ and resolve a circuit split by taking sides with the majority on Section 362(c)(3)(A).
9th Circuit, California, California Eastern DistrictMay 06, 2020
May a Bankruptcy Court Annul the Automatic Stay after Acevedo?
Bankruptcy Judge Grossman explores the extent to which the Supreme Court’s Acevedo decision bars courts from granting relief retroactively.
2nd Circuit, New York, New York Eastern DistrictApril 21, 2020
Justices Postpone Argument in Fulton until the Supreme Court’s Next Term
Supreme Court won’t decide until late this year or early 2021 whether the automatic stay requires creditors to turn over repossessed property without a turnover action.
Supreme CourtApril 20, 2020
Courts Must Rule on ‘Comfort Orders’ When Requested, BAP Says
ABI Consumer Commission recommended that ‘comfort orders’ be obtained through motion practice, not adversary proceedings.
9th CircuitApril 06, 2020
Taggart Didn’t Let Corporate Employees Off the Hook for a Stay Violation
Tortious or fraudulent conduct needn’t be shown to hold a corporate employee liable for violating the automatic stay.
1st Circuit, Rhode IslandMarch 24, 2020
Ninth Circuit BAP Applies Taggart to Violations of the Automatic Stay
Taggart left open the question of whether the ‘no objectively reasonable basis’ standard for discharge violations also applies to contempt of the automatic stay.
9th CircuitFebruary 11, 2020
Section 362(k)(1) Sanctions Apply to Automatic Stay Violation Continuing After Discharge
Almost $35,000 in actual and punitive damages was imposed on a judgment creditor and its collection law firm for failing to vacate a garnishment following notice of bankruptcy and discharge.
9th Circuit, California, California Eastern District