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ABI Journal

March 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 Circuit

February 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 Circuit

February 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 District

February 11, 2025

In Lender-on-Lender Violence, an ‘Uptier’ Financing Bites the Dust, this Time in Houston

Fancy drafting by ‘brilliant financiers and lawyers,’ the judge said, didn’t validate an uptier transaction when the ‘effect’ was to release collateral without a two-thirds vote.

5th Circuit, Texas, Texas Southern District

February 06, 2025

No Second Restructuring of the Same Debt in a Different Venue

Delaware judge wouldn’t allow a chapter 11 debtor to restructure the same secured debt a second time in a different venue.

3rd Circuit, Delaware

February 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 District

January 16, 2025

Fifth Circuit Arguably Expands the Barton Doctrine’s Ultra Vires Exception

A receiver was tagged $45,000 for failing to turn over estate property by demanding payment of administrative fees.

5th Circuit

January 14, 2025

Fifth Circuit Holds that Equitable Mootness Doesn’t Protect Parties to the Appeal

Fifth Circuit didn’t permit plan proponents to structure a chapter 11 plan so that an appeal would be equitably moot.

5th Circuit

January 13, 2025

Fifth Circuit Bans Uptier Financings for Violating the Principle of Ratable Treatment

The Fifth Circuit declines to adopt a securities industry guidebook for what’s a permissible financing.

5th Circuit

December 19, 2024

Sears Landlord Wins Big Supreme Court Appeal But Has Nothing to Show for the Effort

Like she did in Purdue, District Judge Colleen McMahon correctly predicted how the higher court would rule in a big, important case.

2nd Circuit, New York