August 12, 2016

Fifth Circuit Clarifies Texas Law on Remand in Husky v. Ritz

Appellate court cannot draw inferences not made in the trial court, circuit says.

5th Circuit

August 01, 2016

New York District Judge Lays Down Lenient Standard for Imputing Fraudulent Intent

Former Bankruptcy Judge Gerber reversed in Lyondell for being too strict, then for being too lenient.

2nd Circuit, New York, New York Southern District

July 29, 2016

Circuits Split on Invoking Safe Harbor Whenever a Bank Serves as Conduit

Seventh Circuit won’t immunize an LBO from fraudulent transfer just by using a bank conduit.

7th Circuit

California Supreme Court Will Finally Rule on ‘Unfinished Business’ Doctrine

Ninth Circuit certifies question that has bedeviled lawyers leaving failing firms.

9th Circuit

July 14, 2016

Delaware’s Judge Gross Differs with Second Circuit on the Safe Harbor

Judge Gross finds Judge Gerber in Lyondell more persuasive than the Second Circuit in Tribune.

3rd Circuit, Delaware

June 10, 2016

Bankruptcy Judge Sidesteps State Prohibition Against Ponzi Scheme Presumptions

Judge resuscitates Petters suits to recover fictitious profits paid in a Ponzi scheme.

8th Circuit, Minnesota

June 09, 2016

Substantive Consolidation Does Not Supply Actual Creditor for 544(b) Suit

Petters bankruptcy spawns another monumental Ponzi scheme opinion.

8th Circuit, Minnesota

May 18, 2016

Eighth Circuit Holds that Loss of a Defense Does Not Give Standing to Appeal

Can substantive consolidation eradicate a defendant’s affirmative defense?

8th Circuit

May 17, 2016

Supreme Court: Misrepresentation Not Required for ‘Actual Fraud’ Nondischargeability

Supreme Court reverses Fifth Circuit on ‘actual fraud’ dischargeability case.

Supreme Court

May 02, 2016

Subjective Test Without Hindsight Employed to Determine Adequate Capitalization

Later bankruptcy is no proof of prior inadequate capitalization.

3rd Circuit