A district judge in Brooklyn applied the two most commonly used tests for the ‘ordinary course’ defense to uphold dismissal of preference complaints.

A shipment received by a debtor within 20 days of filing gives the creditor both an administrative claim and a new value defense to a preference, the Eleventh Circuit says.

Circuit courts are split 4/3 on their interpretation of Supreme Court precedent holding that regularly conducted mortgage foreclosures are immune from fraudulent transfer attack.

The amendment to Section 547(b) does not require a preference complaint to explain why the defendant doesn’t have affirmative defenses, Judge Walrath says.

Earmarking only applies if the debtor had no dominion and control and the transfer did not diminish the debtor’s estate, BAP says.

Being branded as a creditor is like a tattoo; it won’t ever come off.

Equitable tolling can extend the two-year deadline for filing complaints, but the deadline can’t be extended without notice to the defendants, even if they are unknown or unknowable.

The ‘average-lateness’ test reveals payments that were not made in the ‘ordinary course.’

Hounding a debtor for payment and shortening credit terms defeated an ‘ordinary course’ defense to a preference.

Circuit courts differ on their understanding of Supreme Court precedent and are now split 3/3 on whether a real estate tax foreclosure can be set aside as a constructive fraudulent transfer.