April 09, 2024

Fifth Circuit Vacates $240,000 in Sanctions for Being Criminal, Not Civil, Contempt

The Fifth Circuit dissenter says that the majority set aside findings of fact without showing them to be clearly erroneous.

5th Circuit

April 05, 2024

Barton Doctrine Protected a Receiver from an Automatic Stay Violation

The district court properly reversed and dismissed for lack of subject matter jurisdiction under Barton.

5th Circuit, Texas, Texas Southern District

March 25, 2024

Supreme Court Rules on Mootness, but Not Equitable Mootness

The unanimous decision on March 19 by Justice Gorsuch contains language that could be used on both sides of the argument about the validity of equitable mootness.

Supreme Court

March 14, 2024

Creditor Hit with $826,000 in Sanctions for Filing a Meritless Proof of Claim

Refusing to withdraw a meritless claim with prejudice contributed to the decision by Judge Jernigan to impose high-six-figure sanctions.

5th Circuit, Texas, Texas Northern District

February 27, 2024

Lack of Financial Distress Doesn’t Divest a Court of Subject Matter Jurisdiction

Two North Carolina Courts have held within two months that the Bankruptcy Clause doesn’t demand ‘financial distress’ to establish subject matter jurisdiction.

4th Circuit, North Carolina, North Carolina Western District

February 20, 2024

Shareholder Standing Scrutinized in a Case that Presages Truck Insurance

Can Section 327(c) be unconstitutional as applied if it deprives shareholders of standing when the estate might be solvent?

3rd Circuit, Delaware

February 09, 2024

Creditors Don’t Receive Estate Assets Recovered After the Last Chapter 13 Plan Payment

Absent a provision in the plan to the contrary, creditors aren’t given estate assets recovered after the final plan payment.

9th Circuit, Idaho

February 01, 2024

Cursing the Debtor by Itself Isn’t a Violation of the Automatic Stay

A vulgarity directed at the debtor wasn’t a stay violation absent an act designed to collect a debt.

9th Circuit, California, California Eastern District

January 31, 2024

Congress Must Act to Permit Chapter 7 Debtors to Pay Counsel After Filing

Bifurcated fee arrangements are cumbersome, temporary fixes for a problem that the Supreme Court created in Lamie.

3rd Circuit, Pennsylvania, Pennsylvania Western District

January 18, 2024

Debt Purchaser Socked $65,000 for a Discharge Violation

Taggart doesn’t give more protection to a purchaser of debt than it does to the original creditor, Judge Scott Grossman says.

11th Circuit, Florida, Florida Southern District