May 31, 2019
One Preference Won’t Prevent Another from Being a Preference
A joint check agreement signed in the preference window is a preference, two Virginia judges say.
4th Circuit, Virginia, Virginia Eastern DistrictMay 21, 2019
Supreme Court Agrees to Rule on What Is or Is Not a ‘Final, Appealable’ Order
For now, the high court ducks an important automatic stay question for chapter 13 debtors.
Supreme CourtMay 20, 2019
Did Segal Survive Butner in Defining Property of the Estate?
Judge Perkins in Illinois says the ‘sufficiently rooted’ test from Segal v. Rochelle did not survive Butner and the adoption of the Bankruptcy Code.
7th Circuit, Illinois, Illinois Central DistrictMay 20, 2019
Licensee May Continue Using a Trademark after Rejection, Supreme Court Rules
Supreme Court gets around to overruling Lubrizol almost 35 years later.
Supreme CourtMay 14, 2019
Circuits Split on Bankruptcy Jurisdiction for Social Security, Medicare Suits
Fifth Circuit rejects the ‘recodification canon’ to divest bankruptcy courts of jurisdiction over Social Security suits.
5th CircuitMay 10, 2019
Disclosing an Asset in the Wrong Place Won’t Invoke Judicial Estoppel, Circuit Says
Second Circuit won’t give a defendant a windfall if the debtor scheduled the lawsuit in the wrong place but told the trustee and the court.
2nd CircuitMay 09, 2019
Creditors of LPs or LLCs Can’t Sue for Breach of Fiduciary Duty
Creditors lack standing in Delaware and other states for derivative liability suits against officers and managers of LPs and LLCs.
3rd Circuit, DelawareMay 01, 2019
Equity Can’t Alter the Three Petitioning Creditors Requirement, First Circuit Rules
Even if a debtor has committed fraud, at least three creditors still must join an involuntary petition if the debtor has 12 or more creditors.
1st CircuitApril 30, 2019
Ninth Circuit Bars Third Parties from Seeking Damages for Dismissal of an ‘Involuntary’
If the involuntary corporate debtor was deadlocked and unable to act, the dissenter would have permitted a 50% shareholder to seek damage for dismissal of the petition.
9th CircuitApril 26, 2019
Mothers Owed Child Support Weren’t Entitled to Notice in Father’s Bankruptcy, Circuit Says
Fifth Circuit in substance says that state law overcomes the Bankruptcy Code’s broad definition of who’s a creditor entitled to notice.
5th Circuit