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ABI Journal

April 15, 2024

District Court Upholds the ‘Time Approach’ to Reduce Landlords’ Claims

Across the board, the district court affirmed a decision by Bankruptcy Judge Michael Wiles that minimized landlords’ claims resulting from lease termination or rejection.

2nd Circuit, New York, New York Southern District

April 11, 2024

The ‘Ordinary Course’ Defense Is Satisfied by Showing One of the Two Tests, Not Both

Following the 2005 amendments, satisfying either the subject test or the objective test will prove the ‘ordinary course’ defense to a preference, Judge Hoffman says.

6th Circuit, Ohio, Ohio Southern District

April 09, 2024

Fifth Circuit Vacates $240,000 in Sanctions for Being Criminal, Not Civil, Contempt

The Fifth Circuit dissenter says that the majority set aside findings of fact without showing them to be clearly erroneous.

5th Circuit

April 03, 2024

ERISA Claims Resolved in Bankruptcy Court, Not Through Arbitration

With two federal statutes in conflict, Delaware’s Judge Goldblatt found a rebuttable presumption in favor of enforcing arbitration.

3rd Circuit, Delaware

April 02, 2024

Offensive Appellate Rights May Be Sold, but Maybe Not Defensive Appellate Rights

State laws differ on whether defensive appellate rights are estate property that may be sold.

8th Circuit, Arkansas, Arkansas Western District

March 28, 2024

A Subchapter V Trustee in Possession Isn’t a Receiver, the Ninth Circuit Says

Affirming the BAP, the Ninth Circuit explains why a Subchapter V trustee in possession is not a receiver.

9th Circuit

March 26, 2024

Nonconsensual, Nondebtor Releases Prohibited by a District Court in a Subchapter V Case

A district judge in New York reversed a bankruptcy judge who had permitted a nonconsensual, nondebtor release in a Subchapter V case.

2nd Circuit, New York, New York Southern District

March 25, 2024

Supreme Court Rules on Mootness, but Not Equitable Mootness

The unanimous decision on March 19 by Justice Gorsuch contains language that could be used on both sides of the argument about the validity of equitable mootness.

Supreme Court

March 22, 2024

Actual Notice Is Required for a Plan Injunction to Bind a Creditor

A creditor’s actual knowledge that a bankruptcy case exists isn’t enough for the creditor to be bound by a plan injunction, Delaware’s Judge Silverstein says.

3rd Circuit, Delaware

March 21, 2024

Supreme Court Hears Argument on Who Has Standing in Bankruptcy Cases

The Supreme Court may decide that standing in bankruptcy cases is more flexible and that Article III standards don’t apply in chapter 11 cases.

Supreme Court