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ABI Journal

February 12, 2018

Rejecting a Contract Precludes a Suit for Post-Petition Breach

Opinion ostensibly leaves a debtor without recourse for a supplier’s post-petition breach occurring before rejection.

5th Circuit

February 08, 2018

Ninth Circuit Holds that One Accepting Class in Joint Plan Is Sufficient

A secured creditor making the 1111(b) election is not automatically entitled to a due-on-sale clause paying the claim in full if the property is sold after confirmation.

9th Circuit

February 06, 2018

Ok to Bifurcate the Lien on an Auto Used by the Debtor’s Non-Filing Partner

Congress created a loophole in the hanging paragraph in Section 1325(a).

4th Circuit, West Virginia, West Virginia Northern District

February 05, 2018

Colorado Judge Differs with Two Circuits on Chapter 13 Payments Beyond Five Years

Courts are also split on whether a five-year plan begins on confirmation or on the first chapter 13 plan payment.

10th Circuit, Colorado

January 31, 2018

Eighth Circuit Broadly Draws the Line to Identify ‘Unknown’ Claims that Are Discharged

Eighth Circuit sides with the Third: ‘Reasonably ascertainable,’ not ‘reasonably foreseeable,’ determines which creditors are entitled to actual notice.

8th Circuit

January 09, 2018

Update: The Justices May Hear Another Bankruptcy Case, but Not Sunnyslope

Odds have risen that the high court will decide whether an oral statement about one asset is a statement of ‘financial condition’ that must be in writing.

Supreme Court

January 05, 2018

Third-Party Releases Are Permissible in Theory, Minneapolis Judge Says

Judge issues a tongue-lashing for a three-year reorganization that rewards lawyers but pays nothing so far to sexual abuse claimants.

8th Circuit, Minnesota

December 26, 2017

French ‘Safeguard’ Plan Held to Qualify for Enforcement in the U.S.

New York judge enforces a French reorganization similar to a U.S. prepack.

2nd Circuit, New York, New York Southern District

December 21, 2017

Courts Split on Ability to Redeem a Tax Deed Under a Plan

Another court rules on automatic removal of property from the estate under state law.

11th Circuit, Georgia, Georgia Northern District

December 21, 2017

Courts Split on Ability to Redeem a Tax Deed Under a Plan

Another court rules on automatic removal of property from the estate under state law.