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ABI Journal

July 21, 2025

Paying a Post-Petition Retainer Without Advance Approval Was Ok

Approving a retainer after the fact was a sensible exercise of the court’s discretion when the new lawyer’s services were necessary to avoid dismissal of the Subchapter V case.

New York Northern District

March 04, 2025

For an Individual Chapter 11 Debtor, the Usual Retention Rules Don’t Always Apply

When retention benefits the chapter 11 debtor individually but not the estate, Bankruptcy Judge Christopher Bradley believes that compensation is not subject to approval under Section 330.

5th Circuit, Texas, Texas Western District

December 13, 2024

District Court Upholds Redaction of Customer Information in a Cryptocurrency Case

Prominent news organizations failed to overturn the redaction of customer information in a big cryptocurrency case.

3rd Circuit, Delaware

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

September 26, 2024

A Former Officer Was Not ‘Disinterested’ but Could Be Retained as a Professional Person

Judge Dale Somers adopted a ‘liberal’ construction of Section 1107(b) to retain a professional person who had been an officer of the debtor.

10th Circuit, Kansas

July 23, 2024

Chicago’s Judge Cox Enjoins Suits Against Nondebtors, Distinguishing Purdue

After Purdue, two bankruptcy judges now say that preliminary injunctions protecting nondebtors are permissible to foster successful chapter 11 reorganizations.

7th Circuit, Illinois, Illinois Northern District

July 18, 2024

Delaware Judge Explains How to Obtain a PI Protecting Nondebtors After Purdue

In the first decision on the topic after Purdue, Delaware’s Judge Goldblatt denied the debtor’s motion for a preliminary injunction to stop a lawsuit against nondebtors.

3rd Circuit, Delaware

December 26, 2023

Oil and Gas Royalties Never Become Estate Property in Colorado

The Third Circuit gave royalty owners a constructive trust over royalties improperly paid to secured creditors. The circuit court did not rule on remedy.

3rd Circuit

July 14, 2023

Ninth Circuit Cited for Barring So-Called Critical Vendor Orders

A bankruptcy judge in Oregon was unable to follow renowned Bankruptcy Judges ‘Burt’ Lifland and ‘Mike’ Lynn, who granted critical vendor motions.

9th Circuit, Oregon

March 14, 2023

Oversecured Creditor Granted ‘Default’ Interest on a Loan Purchased at Discount

District judge in Connecticut upheld an award of ‘default’ interest, even though the fully secured lender had opposed the chapter 11 process and resisted the use of its cash collateral.

2nd Circuit, Connecticut