July 26, 2024
Enjoining a Prepetition Policy Doesn’t Violate the Automatic Stay, Fifth Circuit Says
Seeking attorneys’ fees from the debtor for a postpetition civil rights violation does not by itself make a postpetition lawsuit subject to the automatic stay.
5th CircuitJuly 24, 2024
Arbitration Nixed on a Lender’s Claims for Violation of the Automatic Stay
Bankruptcy Judge Paul Black denied a motion to compel arbitration but didn’t decide whether he would certify a class.
4th Circuit, Virginia, Virginia Western DistrictJuly 23, 2024
Chicago’s Judge Cox Enjoins Suits Against Nondebtors, Distinguishing Purdue
After Purdue, two bankruptcy judges now say that preliminary injunctions protecting nondebtors are permissible to foster successful chapter 11 reorganizations.
7th Circuit, Illinois, Illinois Northern DistrictJuly 18, 2024
Delaware Judge Explains How to Obtain a PI Protecting Nondebtors After Purdue
In the first decision on the topic after Purdue, Delaware’s Judge Goldblatt denied the debtor’s motion for a preliminary injunction to stop a lawsuit against nondebtors.
3rd Circuit, DelawareJune 27, 2024
Misleading Ads to Poach a Debtor’s Customers Is No Stay Violation, Circuit Says
The Second Circuit gives competitors license to mount false advertising unless it’s ‘virtually certain’ to affect a debtor’s customer contracts or goodwill.
2nd CircuitJune 21, 2024
Discharge Injunction Violations Can’t Be Heard in Federal District Court
Circuits are split on whether claims for contempt of the discharge injunction must be brought in the bankruptcy court that issued the discharge.
7th Circuit, Illinois, Illinois Northern DistrictJune 03, 2024
Ninth Circuit Bankruptcy Judges Disagree on Allowing Emotional Distress Damages
One day apart, bankruptcy judges in the Ninth Circuit disagreed on emotional distress damages for violations of the discharge injunction.
9th CircuitMay 16, 2024
Recoupment of Social Security Benefit Overpayments Is Barred as a Setoff
Medicaid overpayments may be recovered as ‘recoupment’ while Social Security overpayments are attempted setoffs barred by discharge, Bankruptcy Judge Harwood says.
1st Circuit, New HampshireMay 01, 2024
Fifth Circuit Reaffirms the Use of ‘Gatekeeping’ Orders
As a follow-up to Highland Capital Management, the Fifth Circuit explained when gatekeeping orders are appropriate.
5th CircuitApril 03, 2024
ERISA Claims Resolved in Bankruptcy Court, Not Through Arbitration
With two federal statutes in conflict, Delaware’s Judge Goldblatt found a rebuttable presumption in favor of enforcing arbitration.
3rd Circuit, Delaware