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ABI Journal

November 30, 2021

Chapter 15 Permits Discovery to Lay Groundwork for a Lawsuit, New York Judge Says

Judge Garrity wasn’t required to rule on whether Bankruptcy Rule 2004 applies in chapter 15 cases.

2nd Circuit, New York, New York Southern District

November 23, 2021

Disastrous Litigation Strategy Didn’t Justify Stay Modification, Eleventh Circuit Says

Stay modification is required even if the creditor wants to intervene in state court to help the bankrupt estate.

11th Circuit

November 22, 2021

Johnson & Johnson Venue Transferred from North Carolina to New Jersey

Deciding to transfer venue, a North Carolina bankruptcy judge said that the debtor underwent a corporate restructuring ‘purely for the purpose of filing bankruptcy.’

4th Circuit, North Carolina, North Carolina Western District

November 19, 2021

Res Judicata Limits an Objection to a Claim Allowed in a Prior Bankruptcy

Reducing a claim between the first and second bankruptcy didn’t prevent the Fifth Circuit from employing res judicata.

5th Circuit

November 17, 2021

Circuit Expands Espinosa to Include Failure to Give Notice of Third-Party Releases

Eleventh Circuit holds that the lack of notice required by Bankruptcy Rule 2002(c)(3) did not result in the invalidity of non-debtor, third-party releases in a chapter 11 plan.

11th Circuit

November 12, 2021

A Purdue Suit Against Insurance Carriers Stays in Bankruptcy Court, for Now

Insurance coverage disputes are ‘routinely resolved in summary judgment,’ counseling against immediate withdrawal of the reference of a non-core lawsuit, district judge says.

2nd Circuit, New York, New York Southern District

November 11, 2021

Counsel Can’t Disclaim Responsibilities Imposed by the Code and Rules, Judge Says

Judge Clarkson laid down guidelines for a lawyer who copies pleadings written by another lawyer in a different case.

9th Circuit, California, California Central District

November 09, 2021

Judge Barnes Tells Gamblers What Records to Keep to Win a Discharge in Bankruptcy

The suggestion that the debtor never won undercut the poker player’s testimony about uncorroborated gambling losses.

7th Circuit, Illinois, Illinois Northern District

November 04, 2021

Denial of a Motion to Convert from ‘11’ to ‘7’ Is Not Final and Thus Not Appealable

Until now, there has been surprisingly little precedent directly on point to say that denial of a motion for conversion from chapter 11 to chapter 7 is not a final order subject to appeal

9th Circuit, California, California Eastern District

October 29, 2021

Priest Lacked Standing to Raise a Claim Objection to Clear His Name of Sexual Abuse

Standing has three components: statutory standing, constitutional standing and prudential standing, Judge Thuma explains.

10th Circuit, New Mexico