March 23, 2023

Here’s How a Disclaimed Inheritance Can Be Recovered Under Section 544(b)

Although a disclaimed inheritance is ordinarily beyond the avoiding powers, a trustee can step into the shoes of the IRS to set aside the disclaimer.

7th Circuit, Illinois, Illinois Southern District

March 07, 2023

Revlon Says: Creditors Lack Standing to Assert Claims of ‘General Interest to the Estate’

A creditor with ‘derivative’ claims based on preference or fraudulent transfer can’t convert them to ‘direct’ claims by asking for equitable relief.

2nd Circuit, New York, New York Southern District

February 16, 2023

Losing a Motion to Reopen a Case Can Be a Victory for the Debtor (Sometimes)

An act of Congress that waived sovereign immunity for Marines at Camp Lejeune meant that personal injury tort claims did not arise when the injury was sustained.

4th Circuit, Virginia, Virginia Eastern District

February 03, 2023

Delaware Judge Says When Prejudgment Asset Freezes Are Ok Under Grupo Mexicano

If you want a prejudgment asset freeze, ask for equitable relief and the recovery of specific property, Judge Goldblatt says.

3rd Circuit, Delaware

January 18, 2023

Supreme Court to Hear Two More Bankruptcy Cases This Term

The high court will decide whether a real estate tax foreclosure can violate the Takings Clause and whether Section 106 abrogates sovereign immunity as to Native American tribes.

Supreme Court

January 13, 2023

Burford Abstention Can Apply in Bankruptcy Alongside Abstention in 28 U.S.C. § 1334(c)

Interference with state regulators can compel a bankruptcy court to abstain, even if abstention was not required under 28 U.S.C. § 1334(c).

5th Circuit

December 29, 2022

Third Circuit Upholds Draconian Sanctions for Section 327 Nondisclosure

An opinion by Thomas Ambro shows how the Third Circuit won’t cut any slack for nonbankruptcy lawyers when it comes to retention disclosure.

3rd Circuit

December 22, 2022

A Section 542(b) Turnover Action Can’t Be Used to Compel Payment of a Judgment

Writs of execution and supplemental proceedings, not turnover actions, are the methods for enforcing a money judgment, Bankruptcy Judge Warren says.

4th Circuit, North Carolina, North Carolina Eastern District

November 04, 2022

Differences Between Judicial and Statutory Liens Explained by Judge Heston

Only judicial liens that impair exemptions may be avoided under Section 522(f)(1).

9th Circuit, Washington, Washington Western District

September 23, 2022

Madoff Trustee Scores Another Major Victory in the Second Circuit

The appeals court rules that the Madoff trustee is entitled to summary judgment together with prejudgment interest at 4%.

2nd Circuit