July 27, 2023
All Future Liability on a Lease Counted for Subchapter V Eligibility
Future liability on a lease was counted as a liquidated, noncontingent debt in calculating whether the Subchapter V debtor had more than $7.5 million in debt.
4th Circuit, Virginia, Virginia Eastern DistrictJuly 25, 2023
Section 959(a) Isn’t an Exception to the Barton Doctrine, 9th Circuit BAP Says
Section 959(a) doesn’t permit suing a trustee for breach of fiduciary duty outside of bankruptcy court.
9th CircuitJuly 24, 2023
Fifth Circuit Reaffirms ‘Person Aggrieved’ as the Standard for Appellate Standing
The Fifth Circuit declined to follow the Ninth Circuit in questioning ‘person aggrieved’ as being inconsistent with recent Supreme Court authority.
5th CircuitJuly 17, 2023
Lack of Creditor Opposition Isn’t Grounds for Extending an Expiring Automatic Stay
A repeat filer in chapter 13 must show ‘clear and convincing evidence’ of improved financial condition to warrant an extension of the automatic stay under Section 362(c)(3)(B), Chief Judge Taddonio says.
3rd Circuit, Pennsylvania, Pennsylvania Western DistrictJuly 13, 2023
Equitable Tolling Cannot Extend the Deadline for a Dischargeability Objection
The Third Circuit lauded Bankruptcy Judge Craig Goldblatt for a ‘well-reasoned’ opinion correctly interpreting Supreme Court authority.
3rd CircuitJuly 12, 2023
Bartenwerfer Doesn’t Apply if the Debtor Isn’t a Partner or Agent, Bankruptcy Judge Says
Bankruptcy Judge Klinette H. Kindred declined to expand Bartenwerfer by imputing fraud or larceny when the debtor wasn’t a partner or agent.
4th Circuit, Virginia, Virginia Eastern DistrictJuly 07, 2023
No Sales Free and Clear of a Lien on a Nondebtor Co-owner’s Interest
Although a court may sell a nondebtor’s interest in jointly owned property, the Ninth Circuit BAP won’t permit selling free and clear of lien on the nondebtor’s interest in the property being sold.
9th CircuitJuly 05, 2023
A Bankruptcy Petition Automatically Stays the Filing of an Appeal or a Cross Appeal
When the debtor files bankruptcy before the time has elapsed for a creditor to file a cross appeal, the cross appeal is deemed timely when filed within 30 days after the stay terminated, the Tenth Circuit held.
10th CircuitJuly 03, 2023
IRS Has No Sovereign Immunity to Bar a Fraudulent Transfer Suit Under Section 544(b)
The circuits are now split 3/1, with the majority finding a waiver of sovereign immunity under Section 544(b)(1) for lawsuits by a trustee based on claims that an actual creditor could not have brought outside of bankruptcy.
10th CircuitJune 28, 2023
Three Circuits Now Require Refunds for Overpayment of U.S. Trustee Fees
The government has filed a petition for certiorari raising the question of whether refunds are the proper remedy following the Supreme Court’s Siegel decision finding that the 2018 increase in U.S. Trustee fees was unconstitutional.
11th Circuit