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ABI Journal

June 22, 2021

Utah Judge Engrafts Flexibility onto the Countryman Definition of Executory Contracts

Rooker-Feldman and other principles can bar rejection of a contract even if it’s ‘executory.’

10th Circuit, Utah

May 26, 2021

Curing Defaults Isn’t Always Required Before Selling a Contract, Third Circuit Says

The ‘Countryman’ definition of an executory contract allows a debtor sell a contract without curing a default if the non-debtor counterparty has no further material, unperformed obligations.

3rd Circuit

May 04, 2021

Once Repudiated, a Contract Is No Longer Executory

Courts disagree on whether a repudiated contract remains executory.

5th Circuit, Texas, Texas Southern District

March 02, 2021

Landlord Socked $606,000 for Opposing Lease Assumption

Fee-shifting clause in the lease entitled the debtor to recover $606,000 in attorneys’ fees from the landlord for opposing lease assumption.

9th Circuit, California, California Central District

February 17, 2021

An Individual Can’t Assume a Lease by Reaffirming the Debt

A lawyer queasy about a client’s decision to assume a lease can’t invoke the court’s scrutiny by making an application to reaffirm the debt under Section 524(c), Judge Hursh says.

9th Circuit, Montana

December 17, 2020

Bankruptcy Judges Disagree About Abatement of Rent During the Pandemic

Neither the Bankruptcy Code nor state law permits reducing rent when government regulations restrict a debtor’s ability to generate income, Judge Isgur says.

5th Circuit, Texas, Texas Southern District

November 16, 2020

‘Lifetime’ Club Memberships May Not Survive Bankruptcy

Before paying up front for a lifetime club membership, read the fine print and consult a lawyer.

3rd Circuit, New Jersey

October 20, 2020

Exotic Aircraft Finance Defeats a Trustee on Recharacterization

Electing English law upheld, even though no one had any connection with the U.K.

9th Circuit, California, California Central District

October 06, 2020

First Circuit Won’t Allow a Lien to Be Waived by Implication

Foreclosing on cash doesn’t moot an appeal from the order modifying the automatic stay as to cash.

1st Circuit

September 29, 2020

Surety Bonds Aren’t Executory Contracts and Can’t Be Assumed Even if They Are

Insurance companies must nail down the treatment of performance bonds before plan confirmation.

5th Circuit, Louisiana