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ABI Journal

November 08, 2024

Seventh Circuit Dismisses Based on ‘Person Aggrieved’ Without Citing Truck Insurance

A per curiam decision from the Seventh Circuit raises the question of whether Truck Insurance overruled ‘person aggrieved’ sub silentio.

7th Circuit

November 07, 2024

A Plan Appeal Wasn’t Equitably Moot, Even Though Reversal Might Rejigger New Equity

A district court in Houston denied a motion to dismiss a confirmation appeal as equitably moot, although reversal might alter ownership of the reorganized debtor.

5th Circuit, Texas, Texas Southern District

November 06, 2024

Sufficiency of Preference and Fraudulent Transfer Complaints Described by Judge Goldblatt

To defeat motions to dismiss, preference and fraudulent transfer complaints need not contain all the information to be learned in discovery, Bankruptcy Judge Craig Goldblatt says.

3rd Circuit, Delaware

November 05, 2024

Fully Secured, Nonrecourse Creditors Can Be Involuntary Petitioners, BAP Says

An involuntary petitioner whose claim was paid after filing is still counted as an involuntary petitioner, the Ninth Circuit BAP says.

9th Circuit

November 01, 2024

Substantive Consolidation May Proceed by Motion, District Judge Says

A district court in Florida upheld Bankruptcy Judge Peter Russin in holding that substantive consolidation does not require an adversary proceeding, a summons or a complaint.

11th Circuit, Florida, Florida Southern District

October 28, 2024

Judge Goldblatt Engrafts the Standing Rules from Truck Insurance onto Chapter 7

At least with regard to standing for objections to claims, Delaware’s Judge Craig Goldblatt believes that the Truck Insurance standard for chapter 11 also applies in chapter 7.

3rd Circuit, Delaware

October 23, 2024

Equitable Tolling Can Extend Statutes of Limitations Under Section 546(a)

Dilatory actions by a debtor tolled statutes of limitations for a trustee’s suit against a third party.

3rd Circuit, Pennsylvania, Pennsylvania Eastern District

October 18, 2024

Circuits Are Split on Assuming a Franchise Agreement when the Franchisor Objects

Once affirmed in the Ninth Circuit, the debtor could file a petition for certiorari to resolve an important circuit split on assumption of intellectual property contracts.

9th Circuit, California, California Eastern District

October 17, 2024

No More Injunctions Barring Suits Against Nondebtors in a Diocese Sexual Abuse Case

An opinion by Bankruptcy Judge Carl L. Bucki might be read, incorrectly, to mean that Purdue precludes preliminary injunctions stopping suits against nondebtors.

2nd Circuit, New York, New York Western District

October 11, 2024

Giving Inferior Classes Nothing May Not by Itself Amount to ‘Fair and Equitable’

Conducting a valuation hearing on a cramdown plan isn’t always required.

2nd Circuit, New York, New York Southern District