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ABI Journal

April 04, 2025

Fifth Circuit Says Lessors Are ‘Known’ Creditors Entitled to Actual Notice

Circuit court upholds Bankruptcy Judge Jernigan: Notice by publication doesn’t discharge claims from a lease that rode through chapter 11 or was assumed.

5th Circuit

March 31, 2025

Denver Judge Sides with the Circuits: Nondischargeability Infects Subchapter V

Bankruptcy judges continue to disagree on whether debts of corporations with cramdown plans in Subchapter V can have nondischargeable debts.

10th Circuit, Colorado

March 25, 2025

Equity Survives in the Ninth Circuit to Prevent Recoupment of Disability Overpayments

Reversing the BAP, the Ninth Circuit held that equitable considerations may stop the government from recovering disability overpayments, when the doctrine of recoupment otherwise would have allowed recovery despite the debtor’s chapter 7 discharge.

9th Circuit

March 03, 2025

Texaco’s 1988 Confirmation Didn’t Kill Environmental Suits Decades Later

New York’s Bankruptcy Judge David Jones reopened Texaco’s 1988 bankruptcy to ensure that state courts wouldn’t mistakenly decide that environmental claims were discharged

2nd Circuit, New York, New York Southern District

February 26, 2025

Judge Oldshue Splits with Two Circuits: No Nondischargeability for Sub V Corporations

The bankruptcy judge in Pensacola, Fla., is giving the Eleventh Circuit an opening to split with the Fourth and Fifth Circuits.

11th Circuit, Florida, Florida Northern District

February 18, 2025

Nondischargeability in Sub V Only Applies When It’s a Nonconsensual, Cramdown Plan

A creditor must control a class before its debt can become nondischargeable in Subchapter V.

11th Circuit, Georgia, Georgia Middle District

February 12, 2025

Judgment Liens Based on Nondischargeable Debts May Be Avoided as ‘Impairments’

A homestead can be protected from collection of a nondischargeable debt, limiting the judgment creditor to attaching nonexempt property.

9th Circuit, Arizona

February 10, 2025

The Insurer Exception to Discharge Injunction: More Theoretical than Real?

The self-insured retention can prevent a creditor from using the insurer exception to sue the insurance company with the debtor as a nominal defendant.

5th Circuit

February 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 Circuit

January 28, 2025

Debtor Not Compelled to Arbitrate Automatic Stay or Discharge Violations

A district court in Minnesota left the door open for sometimes compelling debtors to arbitrate claims arising in a bankruptcy case.

8th Circuit, Minnesota