March 18, 2025
Class Actions: The Answer for Stay Violations with Small Damages for Each Debtor
A class action in Chicago will decide whether bankruptcy judges have the tools to rectify a single creditor’s violation of the rights of similarly situated debtors.
7th Circuit, Illinois, Illinois Northern DistrictMarch 17, 2025
Sex Abuse Victims to Have a Private Conference with the Judge and the Catholic Bishop
Bankruptcy Judge Christopher Klein said it was ‘nonsense’ to argue that ‘a Bankruptcy Court lacks authority to permit survivor statements to be made to the Court and to the Bishop.’
9th Circuit, California, California Eastern DistrictMarch 14, 2025
Chapter 13 Debtors Can’t Sell Co-Owned Property Under Section 363(h)
On a question where the courts are split, Bankruptcy Judge Pamela McAfee sides with the majority and holds that a chapter 13 debtor can’t sell co-owned property.
4th Circuit, North Carolina, North Carolina Eastern DistrictMarch 07, 2025
Claim Isn’t Disallowed if the ‘Statute’ Lapses After the Claim Is Filed, Third Circuit Says
The Third Circuit upheld Bankruptcy Judge Goldblatt of Delaware where the answer was self-evident but there was no controlling authority.
3rd CircuitFebruary 19, 2025
The ‘Probate Exception’ to Federal Subject Matter Jurisdiction Is Narrow
The ‘probate exception’ to federal subject matter jurisdiction does not prevent bankruptcy courts from basing decisions on state trusts and estates law, except in limited circumstances.
6th CircuitFebruary 13, 2025
Judge Christopher Klein Writes ‘Cliffs Notes’ on Transferring Venue of Related Cases
In transferring venue of a related case under Rule 1014(b), the bankruptcy court can move sua sponte and need not await a venue motion by a creditor or party in interest.
9th Circuit, California, California Eastern DistrictFebruary 04, 2025
Barton Halted Third Parties from Suing in an Allegedly Better Forum
When third parties sued a trust created by a confirmed chapter 11 plan, Judge Garrity declined to invent any new exceptions to the Barton doctrine.
2nd Circuit, New York, New York Southern DistrictFebruary 03, 2025
A Disguised Loan Agreement Didn’t Create a ‘Fair Ground of Doubt’ Under Taggart
The Fifth Circuit undertook a legal analysis of a complex loan agreement to decide there was no ‘fair ground of doubt’ under Taggart that the lender was violating the discharge injunction.
5th CircuitJanuary 31, 2025
A Good Faith Objection to a Sale Cannot Be Raised the First Time on Appeal
The existence of a competing bidder does not put the buyer on notice of an ‘adverse interest’ to avoid dismissal for mootness under Section 363(m), the Sixth Circuit BAP says.
6th CircuitJanuary 30, 2025
In ‘363’ Sales, Three Courts Say Purdue Doesn’t Bar Injunctions Protecting Buyers
For a sale ‘free and clear,’ nondebtors can be enjoined from suing.
4th Circuit, Virginia, Virginia Eastern District