December 10, 2018

Loss of Voting Rights Must Be Expressly Stated to Be Enforceable, District Judge Says

MPM Silicones makes law again, this time on subordination of junior secured lenders.

2nd Circuit, New York, New York Southern District

November 30, 2018

Circuit Upholds $257,000 in Sanctions for Failure to Disclose a Claim Assignment

A lawyer was personally assessed $257,000 in sanctions for failure to disclose that his client had sold its $14 million claim.

6th Circuit

November 28, 2018

Delaware Judge Allows Unsecured Claim for Contractual Attorneys’ Fees

Delaware district judge reads Supreme Court’s Travelers opinion as requiring the allowance of post-petition contractual claims for attorneys’ fees.

3rd Circuit, Delaware

November 27, 2018

Courts Split on Arbitrating Dischargeability of Student Loans

Supreme Court’s Epic decision may end up forcing debtors to arbitrate dischargeability of loans.

7th Circuit, Indiana, Indiana Southern District

November 21, 2018

Section 1326 Preempts State Law on Levies to Collect Child Support, Fourth Circuit Says

Achieving a ‘good result’ is no reason to disregard a command in the Bankruptcy Court.

4th Circuit

November 19, 2018

Triangular Setoff Barred (Again) in Delaware

A triangular setoff, valid under state law, is unenforceable in bankruptcy under Section 553(a).

3rd Circuit, Delaware

November 14, 2018

New York Judge Dismisses an Involuntary Petition Against a CDO

Judge Vyskocil denounces an involuntary petition as an attempt by senior, fully secured noteholders to profit at the expense of subordinate noteholders.

2nd Circuit, New York, New York Southern District

November 08, 2018

New Jersey Judges Side with the Minority on Turnover of Repossessed Autos

Split deepens regarding failure to return a repossessed auto as an automatic stay violation.

3rd Circuit, New Jersey

November 06, 2018

Chrysler Wrongful Death Suits Barred in Alabama While Permitted Elsewhere

An Alabama statute designed to aid wrongful death claimants ends up hurting them in Chrysler’s bankruptcy.

2nd Circuit, New York, New York Southern District

November 05, 2018

Courts Disagree on the Status of a Supersedeas Bond on the Filing of Bankruptcy

A supersedeas bond and a cash deposit are interchangeable in terms of the rights of a judgment creditor, Judge Sacca says.

11th Circuit, Georgia, Georgia Northern District