March 17, 2016

Madoff Investor’s Suspicion of Fraud Does Not Generate Greater Liability

The right paper trail helps avoid liability for profiting from a Ponzi scheme.

2nd Circuit, New York, New York Southern District

Dischargeability Judgment Must Not Lower Interest on a Creditor’s Judgment

Abuse of discretion automatically results if a judgment harms a defrauded creditor.

9th Circuit, Oregon

February 29, 2016

11th Circuit May Follow 5th Circuit by Limiting Judicial Estoppel in Bankruptcy

Judge Tjoflat dissents from his own opinion to advocate rehearing en banc.

11th Circuit

February 25, 2016

Auditors of a Ponzi Scheme Are Exonerated in the Ninth Circuit

Be sure to issue a qualified report when auditing a Ponzi scheme.

9th Circuit

February 24, 2016

Tim Blixseth Making Law on Extended Jailing for Civil Contempt

Is one year’s jailing too long for civil contempt? Evidently not in Montana.

9th Circuit, Montana

February 19, 2016

Madoff Trustee Beats Back Another End Run Around $7.2 Billion Settlement

Someone who pays $7.2 billion is entitled to a court’s sympathy and protection.

2nd Circuit, New York, New York Southern District

February 16, 2016

Defrauded Customers Make Introducing Broker Eligible for Liquidation under SIPA

SIPC steps in to help pay claims of defrauded customers of introducing broker.

2nd Circuit, New York, New York Southern District

January 19, 2016

Minimal Activities in Foreign Liquidation Are No Basis for Chapter 15 Recognition

Judge Gerber pens a treatise on consequences of bad-faith chapter 15 filing.

2nd Circuit, New York, New York Southern District

January 15, 2016

No ‘Innocent Insider’ Exception to In Pari Delicto in New York, Judge Holds

New York becomes even more inhospitable to trustees facing in pari delicto defense.

2nd Circuit, New York, New York Southern District

Madoff ‘Net Equity’ Method Was Properly Applied to Inter-Account Transfers

Madoff trustee’s newest appellate victory again disregards fictitious profits.

2nd Circuit, New York, New York Southern District