March 22, 2018

Court May Depart from the Code When the Debtor Consents and No One Objects

Unique facts were again the basis for a result seemingly at odds with the statute.

2nd Circuit, New York, New York Northern District

March 21, 2018

Federal Common Law of Constructive Trust Works When State Law Won’t

Delaware judge shows sympathy for a creditor being stiffed by the debtor.

3rd Circuit, Delaware

March 16, 2018

Judge Harner Pens a Primer on the Elements of an Executory Contract

Unperformed obligations must be ‘material’ for a contract to be executory.

4th Circuit, Maryland

March 15, 2018

Filed and Unfiled Claims Not Aggregated for Chapter 12 Eligibility, BAP Holds

Courts are split on aggregating filed and non-filed claims in calculating chapter 12 eligibility.

6th Circuit

March 14, 2018

Challenging Student Loans Permissible Six Years after Discharge

Destitute debtor allowed to challenge student loans six years after a chapter 7 discharge.

10th Circuit, New Mexico

March 13, 2018

Unlicensed Debt Collectors May File Proof of Claim Despite State Law

Midland Funding expanded to allow unlicensed debt collectors to file claims.

4th Circuit, Maryland

March 05, 2018

Supreme Court Says Insider Status Is Reviewed for Clear Error Under Existing Test

Some justices are critical of the existing test for ruling on non-statutory insider status.

Supreme Court

February 22, 2018

Consumer Protection Claims by Governments Are Discharged in Chapter 11

Consumer protection claims brought by states are nondischargeable in chapter 11 only when the state has been the target of fraudulent representations.

3rd Circuit, Delaware

February 21, 2018

Plan Confirmation Cuts Off Adverse Claims to Ownership of Debtor’s Property

Res judicata is flexibly applied again to bankruptcy cases.

2nd Circuit, New York, New York Southern District

February 15, 2018

Failing to Purchase Health Insurance Won’t Result in a Priority Tax Claim

The exaction for failure to purchase health insurance under the ACA is a tax for constitutional purposes but not a tax under the Bankruptcy Code, New Orleans judge rules.

5th Circuit, Louisiana, Louisiana Eastern District