April 19, 2023
A Statement ‘For Informational Purposes’ Can Still Be a Stay Violation, BAP Says
A BAP strictly enforced the stay against a mortgage servicer who improperly listed a pre-petition debt in the portion of the monthly statement showing the next post-petition payment.
9th CircuitApril 14, 2023
Second Circuit Won’t Vacate the Stay Pending Appeal from Voyager’s Confirmation Order
A terse Second Circuit order seems to mean that a stay of a confirmation order pending appeal granted in district court can’t be appealed to the circuit, at least when the appeal is being expedited.
2nd CircuitApril 13, 2023
Judge Isgur Allows 401(k) Contributions in Chapter 13 Up to What the IRS Code Allows
Contributions to 401(k) plans are deducted from ‘projected disposable income,’ even though the debtor was not making contributions before filing
5th Circuit, Texas, Texas Southern DistrictApril 07, 2023
Later Developments Don’t Undo Subchapter V Eligibility, Houston Judge Says
In the Alex Jones corporate Subchapter V case, Bankruptcy Judge Christopher Lopez said that the later chapter 11 filing by Jones himself, with about $1.5 billion in debt, didn’t kick the corporate debtor out of Subchapter V and into ‘ordinary’ chapter 11.
5th Circuit, Texas, Texas Southern DistrictApril 06, 2023
Delaware Judge Explores the Theories Behind ‘Opt-In’ and ‘Opt-Out’ Chapter 11 Plans
Peculiar circumstance compelled a Delaware judge to depart from his usual approval of ‘opt-out’ plans that grant non-debtor releases.
3rd Circuit, DelawareApril 05, 2023
Rebuffed in Bankruptcy Court, the Government Wins a Stay of Voyager’s Confirmation
The U.S. Attorney argued in district court that the Voyager plan would bar the government from enforcing federal regulations and criminal laws.
2nd Circuit, New York, New York Southern DistrictApril 04, 2023
Delaware and New York District Courts Split on Permissibility of Non-Debtor Releases
Upholding confirmation of the Boy Scouts’ chapter 11 plan, the district judge in Delaware disagreed with his counterpart in New York who found no statutory power to impose non-consensual, non-debtor third-party releases.
3rd Circuit, DelawareMarch 22, 2023
Renewing a Title Loan Just Before Chapter 13 Didn’t Make the Filing in Bad Faith
Ruling the other way would have barred chapter 13 filings after renewing title loans.
11th Circuit, Alabama, Alabama Middle DistrictMarch 14, 2023
Oversecured Creditor Granted ‘Default’ Interest on a Loan Purchased at Discount
District judge in Connecticut upheld an award of ‘default’ interest, even though the fully secured lender had opposed the chapter 11 process and resisted the use of its cash collateral.
2nd Circuit, ConnecticutMarch 07, 2023
Revlon Says: Creditors Lack Standing to Assert Claims of ‘General Interest to the Estate’
A creditor with ‘derivative’ claims based on preference or fraudulent transfer can’t convert them to ‘direct’ claims by asking for equitable relief.
2nd Circuit, New York, New York Southern District