June 19, 2025

Opposing Relief, a Creditor Isn’t Required to Show Constitutional Standing

Delaware’s Bankruptcy Judge Goldblatt explains why the Supreme Court’s Truck Insurance opinion says nothing about Article III constitutional standing.

3rd Circuit, Delaware

June 16, 2025

Plan Didn’t Extinguish Debts, Only Discharged Them, Fifth Circuit Says

A plan saying that it satisfies and settles claims does nothing more than discharge the claims. It doesn’t extinguish the claims, the Fifth Circuit says.

5th Circuit

June 12, 2025

No Stay Pending Appeal on Nondebtor Opt-Out Releases in a Chapter 11 Plan

The debtor agreed not to raise equitable mootness on an appeal only challenging nondebtor opt-out releases.

2nd Circuit, New York, New York Southern District

June 02, 2025

Chapter 13 Plan Modifications Can Reduce the Commitment Period and the Payments

A decision by Bankruptcy Judge Maria Oxholm explains why chapter 13 plan amendments sometimes may be easier after confirmation than before.

6th Circuit, Michigan, Michigan Eastern District

May 30, 2025

Four Circuits Align: Section 1322(c)(2) Permits Bifurcating a Short-Term Mortgage

When a home mortgage matures during the term of a chapter 13 plan, the debtor may bifurcate and cram down the secured claim, the Ninth Circuit holds.

9th Circuit

May 28, 2025

Opting Out Is Consent for Nondebtor Chapter 11 Releases, New York Judge Says

Another bankruptcy court in New York holds that the ability to opt out of nondebtor releases represents consent after Purdue.

2nd Circuit, New York, New York Southern District

May 27, 2025

Consent Is an Exception to Jevic’s Insistence on Respecting Priorities in Distribution

Consent from administrative creditors provided grounds for approving DIP financing and a sale when the estate was administratively insolvent.

11th Circuit, Florida, Florida Southern District

May 22, 2025

Two Courts Hold: Injunctions Are Ok to Protect Nondebtors for the Life of a Plan

Judge Meredith Grabill of New Orleans agreed with New York’s Judge Mastando that a Subchapter V plan can enjoin lawsuits against nondebtors for the life of a three-year plan.

5th Circuit, Louisiana, Louisiana Eastern District

May 20, 2025

The ‘Dissent’ in Boy Scouts Favored Using Equitable Mootness to Uphold Nondebtor Releases

The circuit courts are diverging on the utility of equitable mootness to avoid reversing confirmation of chapter 11 plans.

3rd Circuit

May 19, 2025

As to Appealing Insurers, the Boy Scouts Plan Was Not Equitably Moot

Holding $1.4 billion in escrow did not preclude invocation of equitable mootness, Third Circuit majority says.

3rd Circuit